Monday, February 23, 2009

SAP: Clueless Consultants From Accenture And IBM Giving Us A Bad Name (SAP)

My first job out of college was as a consultant for Accenture (ACN), still called "Andersen Consulting" in those days. And after a whirlwind six weeks of training that had nothing to do with ERP, I was designated an expert systems integrator on PeopleSoft, the ERP system later devoured by Oracle (ORCL). I learned what "ERP" meant about 36 hours before I showed up on my client's doorstep.

Apotheker_leo.jpg

Over the next several years, I worked on four so-called "full life-cycle" ERP implementations. Every one was delivered late, over budget, and with more bugs than a youth hostel in Bangkok.

Did the projects fail because I (and the tens of thousands of entry-level consultants in the same position) weren't trained before our first assignments? ERP giant SAP (SAP) now thinks it's a problem, and wants the so-called "experts" certified. SAP co-CEO Leo Apotheker:

“I don’t give a s**t if it’s Accenture or IBM. I care about the customer. I find it shocking people are walking around talking to customers and have no experience on [SAP]. [Consultants] get hired of people and have no clue. It’s annoying but that’s a fact. Let’s start by certifying people,”

Obviously I have a biased perspective as a former systems integration consultant, but there's plenty of blame to go around for the problems that always come with ERP integrations. Yes, consultants who don't know what they're talking about are an issue, a problem clients can and should avoid by demanding to see resumes of integrators in any project proposal. But the underlying software is maddeningly complex and buggy (at least in the 90s, SAP had a reputation in the US for issuing error messages and critical alerts in German).

And then there's the clients. SAP software in particular "wants" its users to run their businesses the "SAP way." The core of most cost/time overruns stems from CIOs committing to ERP, but middle managers insisting after implementation is already well underway that the software be changed to accommodate legacy business processes rather than the other way around.

Ultimately, while the idea of certifications is an amusing conceit, we don't think it will happen. Leo himself admits "we are not a university" and SAP can't effectively manage a certification program.

And then there's the business problem: It's easy for Leo to talk a big game on the Internet about "not giving a shit" what IBM thinks. But SAP is hugely dependent on firms like PricewaterhouseCoopers or Ernst & Young to steer business its way. If SAP makes it difficult for its system integration partners to make money -- which they do in part by sending inexperienced people to client sites -- the firms will seamlessly redirect business towards ERP companies who will play ball, like Oracle.

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Source: BusinessInsider

Saturday, January 17, 2009

Accenture RP lays off 500 workers from Inquirer Article

MANILA, Philippines – Outsourcing firm Accenture said it is laying off at least 500 workers in the country due to a "redundancy” program.

In a statement sent to INQUIRER.net, the company said it is implementing a redundancy program "to balance the skills of its workforce against the demand from its clients".

This affects approximately three percent of its total workforce in the Philippines or approximately 500 out of a total headcount of more than 16,000 employees.

Accenture, however, said the reduction applies only to certain "excess" skill sets within its outsourced technology services unit.

The company added it continues to recruit in the Philippines for other skills to meet client demand.

Accenture has been operating in the Philippines for more than two decades and has ramped up workforce in the last few years due to the outsourcing boom.

The company operates eight delivery centers locally, its most recently established site located in Cebu City.

The Philippines has the third-largest headcount in Accenture's global network, next to the US and India.

Source: Inquirer.Net

What is the future of a SAP technical/ABAP programmer?
Can a Computing graduate go into SAP?
SAP vs Oracle

This is because of recession. And it had made impact on IT demands not only in Philippines but in India and Singapore as well. I would like to hear your reactions on this news, add comments please, thanks.

Saturday, November 29, 2008

A trainee program to better your career

Q. I had five years of programming experience before I decided to take up ABAP training and certification. Now I seem to have a harder time looking for SAP-related employment.

What can I do to improve my employment chances?

Career advice from Stella Thevarakam, regional HR director of management and technology consulting firm ISS Consulting (M):

I would suggest you join a trainee program in any one of the SAP partners and take your career in SAP from there.

It may be a temporary salary cut, but usually after the training, the salary rise is quick and you will catch up very fast with your career.

More links:
Source: ZDNetAsia


Saturday, October 18, 2008

SAP shares free-fall on third quarter warning

SAP warned its third quarter revenues are expected to come in below Wall Street's projections, driving its stock down by a whopping 17.6 percent in intra-day trading.
The enterprise software behemoth noted that a preliminary review of its financial performance indicates its third quarter software and software-related service revenues are expected to range between 1.97 billion to 1.98 billion euros (US$2.66 billion to US$2.68 billion), a 13 to 14 percent increase over the same time last year.

However, Wall Street had been expecting the company to post revenues of 2.863 billion euros (US$3.87 billion), according to Thomson Financial.
Henning Kagermann, SAP co-chief executive, had this assessment in a statement:
"The market developments of the past several weeks have been dramatic and worrying to many businesses. These concerns triggered a very sudden and unexpected drop in business activity at the end of the quarter."

More Links:
Interview with SAP CEO on YouTube
Can a Computing graduate go into SAP?
Logica eyes more SAP business from Europe
Which one to take: SAP ABAP, Oracle DBA or CCNA?
Technical background necessary in ERP consulting?
Philippines faces IT skills shortage


"Throughout the third quarter we felt quite positive about our ability to meet our expectations. Unfortunately, SAP was not immune from the economic and financial crisis that has enveloped the markets in the second half of September, causing us to report numbers below our expectations," Kagermann added.

On the bright note, Kagermann noted that while revenues contracted, the business fundamentals of its operations remain intact.

"SAP did report double-digit growth in software and software-related service revenues for the quarter and we expect to have gained further market share," the co-CEO said.
Nonetheless, SAP fell 17.6 percent to US$37.60 a share in intra-day trading, as investors bailed on the stock.

SAP's archrival Oracle, meanwhile, also saw its stock sink, as investors worried SAP's woes is an industry problem and not just SAP-specific.
Oracle fell as much as 10.5 percent to US$17.43 a share in intra-day trading, compared to Friday's close.


Source: ZDNetAsia

Wednesday, September 17, 2008

Study course to SAP

Q. I have roughly one-and-a-half years of post MBA (Marketing) experience in IT procurement and client servicing with a software development company (400 people) in Delhi. What will be best-suited module with regards to my present job profile: I prefer SCM-procurement (MM) or sales distribution or CRM.

I am not comfortable with programming and the other related IT skills. Please let me know whether I need to go back to the basics or not?

Now the most important aspect: the choice of learning center. As I understand it, SAP has partnered SISL and Genovate to provide education in India. A rough idea of the certification and course fees in those learning centers will help me to manage my finances.

Nirupam Bhowmik

Career advice from K Srini, human resources head-strategy of global consulting and IT services provider, Satyam Computer Services:

Hi. You can look at both SCM (MM) and CRM as options.
You might not necessarily have to go back to programming days but there would be a bit of technology learning on the module(s) that you choose.

Genovate has a 24-day certification course which costs about INR300,000 (US$7,500). As this is an approximate figure, you should check the cost directly with the provider.


More Links:

What is the future of a SAP technical/ABAP programmer?
Can a Computing graduate go into SAP?
SAP vs Oracle

Source: ZDNetAsia