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1 SAP Cloud Solution/SAP Computing Connection Title Discover Runs How Here Cloud And Here Computing And Here Enables And Here the And Public Here Sector (max. to 85 Improve characters) Citizens Lives

2 Technology is transforming the way we live and work. In today s digitally connected and socially networked world, people are more technologically aware, more informed, and more empowered than ever before. More and more public sector organizations around the world are responding to this new world by embracing cloud technology from SAP. Government leaders see cloud computing as a capability enabler to provide the next-generation citizen experience to better serve the public. In this age of rising expectations and falling budgets, public sector organizations face relentless pressure to do more with less. Taxpayers want a better return on their investment and demand more-responsive citizen services delivered with greater efficiency, accountability, and transparency. And this pressure to perform is driving the need to transform agencies. WHY CLOUD IS EMERGING NOW Public sector agencies are embracing cloud computing to deal with the explosion of data, widespread adoption of social media, and use of mobile devices by constituents and employees. Faced with increased demands for citizen services and limited budgets, public sector organizations need the agility, faster implementation, and frequent innovation updates of cloud-based solutions. Those organizations using cloud computing benefit from regular innovation updates from vendors, avoiding lengthy upgrade cycles. Cloud computing, unlike the on-premise world, enables the incredible compute power that was previously limited to huge organizations with large budgets to be used by organizations of all sizes. Your public sector organization can more easily manage seasonal expansion and shrink, project surges, or specific tasks without having to invest in complex hardware, database, security, and hosting, because these are managed by the cloud provider and are available when needed. Cloud computing also delivers faster deployment and time to value and in many cases a simpler consumer-grade user experience to help government organizations at all levels improve citizens lives. 2 / 8

3 How the SAP Cloud Portfolio Unlocks Value for the Public Sector One size does not fit all. Public sector organizations have different missions, vary in size, and have different regulatory and security requirements. What they share is the need to serve citizens with limited public resources. The right mix of cloud, hosted, and on-premise technology can help your agency achieve your mission and improve quality of life for citizens. SAP solutions empower your organization to engage citizens, partners, and employees in new ways to innovate and create deeper relationships and then execute at scale. Our cloud portfolio delivers flexibility, choice, and control. With our cloud solutions, you can leverage your existing on-premise environment and become more agile. Line-of-business leaders have the flexibility to innovate and adapt processes more quickly and to easily generate new value or reduce costs, with minimal disruption. Your public sector agency can choose a private, community, or public cloud deployment or adopt a hybrid on-premise and cloud strategy. SAP and our certified partners offer a broad set of deployment models and migration services that will help you deliver your cloud your way. SAP solutions empower your organization to engage citizens, partners, and employees in new ways to innovate and create deeper relationships and then execute at scale. Our cloud portfolio delivers flexibility, choice, and control. 3 / 8

4 You can deploy our solutions in the manner that best fits your agency s mission. In addition, you can use our cloud solutions and leverage your existing environment by extending your on-premise IT solutions with our cloud software-as-a-service (SaaS) solutions for people, money, citizens, suppliers, and more. Our next-generation SaaS solutions are natively mobile and social and can be used stand-alone or in combination with other cloud-based or on-premise solutions. The figure shows how the SAP Cloud portfolio provides tools for your government organization to extend your solutions as well as to integrate cloud and on-premise solutions. You can also use the cloud marketplace, an online marketplace from SAP, to extend the value of applications and discover new applications built by other customers and SAP partners. Visit SAP Store. The examples below demonstrate how cloud solutions from SAP deliver value for the public sector in lines of business and throughout the enterprise. Figure: Unified Solutions in the SAP Cloud Portfolio Social people-to-people collaboration Managed cloud Line-of-business cloud application Marketplace SAP Business Suite powered by SAP HANA SAP NetWeaver Business Warehouse powered by SAP HANA People Citizens Money Suppliers Business Customer applications Partner and independent software vendor applications Business network business-to-business collaboration SAP HANA Cloud Platform Application development and integration services Database services Infrastructure services Integration 4 / 8

5 PEOPLE People are any public sector organization s most valuable asset for delivering results and executing strategy. A changing workforce is driving the need for effective workforce management strategies to recruit and retain the right talent. You can use our cloud-based human capital management solutions across the entire talent management lifecycle, stand-alone or with onpremise software. With the right people working on the right tasks, your government agency can unlock its full potential. Our cloud-based platform helps you align the workforce with strategy, optimize performance across the organization, and enhance productivity, helping make the most of your workers. Data analysis, insight, and guidance across the organization s human capital help drive maximum impact. With 2 million users in the public sector, SAP offers human capital management applications that deliver value and improve effectiveness by engaging and empowering employees. CITIZENS SAP HANA Cloud Portal and cloud solutions for the customer line of business including areas such as HR, procurement, finance, citizen services, and so on are available to citizens 24x7 to provide real-time information. Citizens can also file service requests through multiple communications channels. In addition, your agency can respond directly to citizen posts on your own social media site, such as Facebook or Twitter. When used together, these capabilities offer a smooth citizen service experience. Public sector agencies, nonprofit organizations, and political candidates gain useful insight into citizen sentiments with social media analytics. By monitoring dozens of social media sites and searching for keywords, government leaders stay connected to citizen opinions in real time. In the United States, Australia, and Germany, candidates for political office have used the SAP Social Media Analytics application by NetBase to assess voter sentiment and inform their political campaigns. With these tools, any stakeholder can visualize information about comments in the social media in the format he or she wants (charts, graphs, or dashboards) and engage with the citizens on the basis of analytical insights. By monitoring dozens of social media sites and searching for keywords, government leaders stay connected to citizen opinions in real time. 5 / 8

6 Your government agency can use our procurement solutions to optimize your source-to-pay activities and use Ariba Network to collaborate with suppliers. MONEY AND ENTERPRISE RESOURCE PLANNING Good stewardship of public funds is essential for any government organization to improve government effectiveness. Citizens demand accountability and transparency for every taxpayer dollar spent. The SAP Cloud for Financials solution can align processes and metrics to enable real-time business insight, lower operating costs, and optimize public sector financial resources. The cloudbased financial management and accounting solution provides enhanced transparency along with early visibility into budget expenditures and tools to support compliance. It also helps your government organization accelerate your fiscal year-end closing cycle through collaboration, workflow, and greater automation. In addition, public sector agencies are using our financial and travel management solutions in the cloud stand-alone or with their on-premise software. For example, the Port of San Diego uses the SAP Cloud for Travel and Expense solution together with its on-premise enterprise resource planning system. Employees spend less time processing travel requests and expenses, which makes them more available to serve the public. The organization is more efficient and effective as a result of using our integrated applications. 1 SUPPLIERS Your government agency can use our procurement solutions to optimize your source-to-pay activities and use Ariba Network to collaborate with suppliers. More than US$460 billion in spend passes through Ariba Network, which has over 1 million suppliers. If you have already invested in onpremise solutions from SAP, you can benefit from Ariba Network for purchase order and invoice automation. You can also further extend your procurement landscape with either additional on-premise solutions or Ariba cloud solutions. Your agency can leverage our cloud-based solutions to automate transactions, collaborate with hundreds of trading partners, and implement more than 300 vendor catalogs in less than eight weeks. With electronic invoice automation, you can reduce paper-processing costs by up to 75% and reduce error rates. 2 By processing payments promptly, you can capture more early-payment discounts and use the savings to support other mission-critical activities. Good stewardship of public funds is essential for any government organization to improve government effectiveness. Citizens demand accountability and transparency for every taxpayer dollar spent Ariba customer engagements and benchmarks, SAP Value Management benchmarking. 6 / 8

7 Procurement is essential to relief efforts in the aftermath of a disaster. Moreover, humanitarian relief organizations never know when a disaster may strike. Earthquakes, tornadoes, and hurricanes strike suddenly, leaving people in need of food, clothing, and shelter. The American Red Cross uses Ariba Network to identify vendors and provide prompt assistance to citizens, thus humanizing the supply chain. The savings derived from the networked economy help save people s lives by helping the organization do more with less. 3 COLLABORATION Your public sector agency can use our entire portfolio of applications in the cloud and on premise with the SAP Jam social software platform. SAP Jam brings together several types of social collaboration, including social networking, collaboration with external participants (citizens, other government agencies, stakeholders, suppliers, and so on), structured collaboration for problem solving, and business process integration. This enables organizations to solve mission-critical public sector problems. The Village of Schaumburg in Illinois uses SAP Jam along with many of the cloud-based human capital management solutions from SAP. This local government organization has a high percentage of employees eligible to retire in the next five years. Using cutting-edge technology for social collaboration helps the organization attract and retain talented workers. CLOUD INTEGRATION To use our cloud solutions stand-alone, with onpremise solutions, or as a loosely coupled suite of cloud-based solutions, you can take advantage of cloud-based integration. SAP HANA Cloud Platform supports both process and data integration scenarios. Prepackaged integration flows, or iflows, are available for the most common integration scenarios, especially for human capital management. You can also use our open application program interfaces with partner integration platforms, such as Dell Boomi or IBM WebSphere Cast Iron, or partner applications, such as those from Kronos Inc. MANAGED CLOUD AS A SERVICE Managed cloud as a service (MCaaS) provides subscription delivery of proven SAP solutions, wrapped in packaged and managed services, through a partner s private hosted cloud. You can choose a pure operating expense model on a subscription that preserves cash or choose a mixed payment of capital and operating expenses. According to a study by VMS AG on MCaaS, SAP customers may expect a 30% reduction in total cost of ownership over five years. 4 The cost reductions are valuable to governments that can reallocate funds to improve services to citizens. 3. Humanizing the Supply Chain: American Red Cross at Ariba LIVE 2013, 4. SAP Managed Cloud as a Service (MCaaS): The Impact of MCaaS on the Total Cost of Ownership (TCO) of Running SAP, VMS AG, July / 8

8 Public sector organizations are using MCaaS to modernize their IT landscape while improving performance at a lower cost. MCaaS also offers a faster time to value and shorter implementation cycle compared with traditional on-premise IT solutions. The State of Catalonia in Spain is using HP s MCaaS approach to migrate its data center, which includes SAP solutions, to a virtual private cloud. The state expects to operate more efficiently while improving services to citizens. 5 INFRASTRUCTURE AS A SERVICE Government agencies use infrastructure and solutions from SAP and our certified partners to extend their existing IT environments into the cloud, making the most of limited resources to deliver key services securely and with minimal disruption. By deploying solutions in the cloud, agencies can avoid the initial infrastructure investment, enjoying a faster time to value, which benefits both citizens and the government. VIRTUALIZATION You can also use virtualization solutions from SAP and our technology partners for your on-premise solutions. Virtualization technology can simplify and optimize provisioning, deployment, and management of SAP software systems, which lowers costs and enhances flexibility and agility. Your public sector agency can enjoy reduced costs, support faster setup and refresh of the SAP software landscape, and get cloud ready. FIND OUT MORE Cloud is here to stay in the public sector. Your government agency benefits from faster time to value, lower cost of ownership, and easier upgrades. SAP offers public sector organizations one of the broadest arrays of cloud solutions and the flexibility to choose how to use the cloud. With more than 14,800 public sector customers and 36 million cloud users, SAP offers technology to help improve citizens lives. Find out more at /public-sector.html. Government agencies use infrastructure and solutions from SAP and our certified partners to extend their existing IT environments into the cloud, making the most of limited resources to deliver key services securely and with minimal disruption. 5. www8.hp.com/us/en/hp-news/press-release.html?id= #.umbkmxd4vw4. 8 / 8 Studio SAP 27575enUS (14/05)

9 No part of this publication may be reproduced or transmitted in any form or for any purpose without the express permission of SAP AG or an SAP affiliate company. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP AG (or an SAP affiliate company) in Germany and other countries. Please see for additional trademark information and notices. Some software products marketed by SAP AG and its distributors contain proprietary software components of other software vendors. National product specifications may vary. These materials are provided by SAP AG or an SAP affiliate company for informational purposes only, without representation or warranty of any kind, and SAP AG or its affiliated companies shall not be liable for errors or omissions with respect to the materials. The only warranties for SAP AG or SAP affiliate company products and services are those that are set forth in the express warranty statements accompanying such products and services, if any. Nothing herein should be construed as constituting an additional warranty. In particular, SAP AG or its affiliated companies have no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation, and SAP AG s or its affiliated companies strategy and possible future developments, products, and/or platform directions and functionality are all subject to change and may be changed by SAP AG or its affiliated companies at any time for any reason without notice. The information in this document is not a commitment, promise, or legal obligation to deliver any material, code, or functionality. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates, and they should not be relied upon in making purchasing decisions.

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