Capital Market Day 2015

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1 Capital Market Day 2015 Digital Business Platform & Product Roadmap Dr. Wolfram Jost Chief Technology Officer February 4, For Internal use only.

2 Market Application infrastructure and middleware Develop, deploy and integrate applications Manage business and IT transformation 2

3 BIG CHANGE due to digitization 3

4 Internet of Everything tennis racket mining machines lightning Polo Tech Shirt vehicles wind turbines home audio 4

5 Statements: Software is eating the world Every company will become a software company. What business am I in? IT is the business. 5

6 Blurring the digital and physical world More influence of customers Disrupting existing business models DIGITAL BUSINESS Combining people, business and physical things supermaneuverable buisness processes Agility, speed, scale, responsiveness 6

7 Problem statement: The digital business is changing the way how innovative and differentiating business applications are designed, developed, used and operated. Todays conventional business applications do not support the requirements that digital business requires. 7

8 Solution 8

9 Today's Situation Customer engagement systems Front office Marketing Sales Hybrid Integration Finance & Controlling Order Management Customer Management Procurement Core operational systems (ERP, SCM, ) Supply Chain Management Back office Stable Reliable Efficient Standardization 9

10 Position of the Digital Business Platform Customer engagement systems Front office Marketing Sales Service Support Commerce Adaptive Applications Agility, Speed, Innovation, Differentiation DIGITAL BUSINESS PLATFORM Finance & Controlling Order Management Customer Management Procurement Core operational systems (ERP, SCM, ) Supply Chain Management Back office Stable Reliable Efficient Standardization 10

11 Comparison Packaged App s (Product) Hard wired process logic Predefinded business logic Functional oriented Long release cycles (+2 years), stable Predefined and fixed schema Service enabled BPM, ESB, CEP, IM as add-ons Customization through coding Transactional and analytics separated Innovation through vendor (Buy) Standardization and harmonization Adaptive App s (Platform) Explicit process models Development of new business logic (Meta data) End-2-End processes Short release cycles (+6 month), adaptable Flexible schema Service oriented and event driven BPM, ESB, CEP, IM as native components Customization through configuration Hybrid transactional and analytical Co-innovation (Buy & Built) Innovation and differentiation 11

12 Service oriented and event driven Adoptive and systematic development High level application services DIGITAL BUSINESS PLATFORM Visual development and native coding Cloud, mobile, social Big data and internet of things Customization through configuration Accessable through s 12

13 Digital Business Platform Marketplace Models Apps Architecture Blueprints Best Practices Common User Interface Lifecycle Management Administration Plan, Build, Test, Run Deployment, Provisioning, Monitoring Big Data Internet of Things Identity Management Roles Users Tenants Authorization Content Processes, Architecture, Metrics, Reference Models Common Runtime Methodology Procedures, Policies, Meta Models SAP Cloud B2B Java Oracle Natural Adabas Enterprise Applications 13

14 Digital Business Platform 14

15 Application architectures requirements Adaptability Performance Scalability Availability Architecture Usability Security Reliability Upgradability Acessability 15

16 Event Persistence Framework (EPF) Business Activity Monitoring SOA- Governance Designer (Tooling) Event Model Routing Event Types Business Activity Monitoring SOA- Governance Visual Analytics Event Type Definition Event Type Definition Visual Analytics Enterprise Service Bus Producer (Publisher) Consumer (Subscriber) Enterprise Service Bus Business Process Management Process Intelligence Complex Event Processing Transport (Universal Messaging) Event Store Business Process Management Process Intelligence Complex Event Processing 16

17 Event Persistence Framework (EPF) Business Activity Monitoring SOA- Governance Visual Analytics Enterprise Service Bus Business Process Management Process Intelligence Complex Event Processing Transport (Universal Messaging) Drivers (JDBC), Connectors (HIVE) Event Persistence Hadoop RDBMS NoSQL Event Store 17

18 Digital Business Platform: Development Capabilities Business ISV's IT SI Phone Tab Desktop 's Management Design tools Run-time services Configuration User interface Rules engine Event engine Deployment Business rules Tasks Process engine Task engine Provisioning Events Integration engine Analytics engine Monitoring Installation Data Processes Services manager Programm logic MDM engine In Memory Data store Artifact repository Asset repository Event store 18

19 Use Cases Adaptive Applications Employee Onboarding Travel/ Expense Management Campaign Management Predective Maintenance Supply Chain Monitoring Business and IT Transformation Intelligent Business Operations Integration Agile Processes In-Memory Data Fabric Digital Business Platform 19

20 BREAKTHROUGH INNOVATIONS 20

21 SaaS apps PaaS apps Social apps Mobile apps Manage Design/Develop Test/Run webmethods Cloud Integration webmethods Integration Server Legacy ERP Home grown Data bots 21

22 Client apps Client app developers webmethods Enterprise Gateway webmethods -Portal Enterprise webmethods Mediator webmethods Centrasite webmethods Integration Server Legacy ERP Home grown Databases 22

23 IoT Platform Ingest Product cloud Visual Analytics IoT Analytics Integrate Gateway In-Memory Collect MQTT Data storage Software Hardware Physical component Smart Product M o n itor, C o n t rol, Optimize, A u t o nomy Analyze Enterprise Service Bus Sales Marketing Business Processes 23

24 Basic Beginners/Opportunistic users Departemental projects Advanced Cross departemental usage and strategic projects Enterprise Full scale enterprise wide usage 24

25 Next generation ibpms (Adaptive Application Platform) Business Console Task Inbox Business Analytics Activity Streams Forms Social Feeds UI logic Task logic Process logic Decision logic Program logic UI container Task engine Process engine Rules engine Application container Common Runtime Design time Run-time Analytics (Historical) Task Applications Process Applications Business Applications Composite Applications 25

26 Best fit for budget, EA and Portfolio Management maturity, company policy, program goals, stakeholders 26

27 Positioned in Leaders Quadrant of Gartner s Magic Quadrant for On- Premises Application Integration Suites Source: Gartner, Inc., Magic Quadrant for On-Premises Application Integration Suites, Jess Thompson, et al., July 29, This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from Software AG. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. 27

28 Software AG Ranked as a Leader in the Big Data Streaming Analytics Market Source: The Forrester Wave : Big Data Streaming Analytics Platforms, Q3 2014, Forrester Research, Inc., July 17, 2014 The Forrester Wave is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave are trademarks of Forrester Research, Inc. The Forrester Wave is a graphical representation of Forrester's call on a market and is plotted using a detailed spreadsheet with exposed scores, weightings, and comments. Forrester does not endorse any vendor, product, or service depicted in the Forrester Wave. Information is based on best available resources. Opinions reflect judgment at the time and are subject to change. 28

29 Positioned in Leaders Quadrant of Gartner s Magic Quadrant for Business Process Analysis Tools Source: Gartner, Inc., Magic Quadrant for Business Process Analysis Tools, David Norton, December 12, 2011 This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from Software AG. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. 29

30 Positioned in Leaders Quadrant of Gartner s Magic Quadrant for Enterprise Architecture Tools Source: Gartner, Inc., Magic Quadrant for Enterprise Architecture Tools, Saul Brand, September 30, 2014 This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from Software AG. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. 30

31 The storyline on one Slide 1 The digital business is disrupting business operations in a way we have never seen before (Big Change) 4 The paradigm is no longer buying packaged applications. The new paradigm is buy (platform) and built (business logic) 2 Today s conventional business applications are not able to meet the demands and challenges of the digital business 5 The technology foundation for managing the digital change (processes, IT) and building adaptive applications is the Digital Business Platform 3 A new generation of business applications is needed which is based on agility, flexibility and speed: Adaptive Applications 6 Software AG is offering the first Digital Business Platform in the world 31

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