MagicQuadrantforSAPImplementation

ServiceProviders,Worldwide
31July2014ID:G00261880
Analyst(s):SusanTan

VIEWSUMMARY
SAPhasalargeecosystemofimplementationserviceproviders,butproviders'investmentfocusand
strengthsvary.BuyersofSAPimplementationservicescanusethisMagicQuadranttoidentifyservice
providersforabroadrangeofglobalSAPimplementationservicesacrossmultipleSAPsolutions.

MarketDefinition/Description
TheaimofthisMagicQuadrantistoevaluateserviceprovidersforabroadrangeofimplementation
servicesacrossmultipleSAPapplicationsandtechnologies.BuyersofSAPimplementationservicescan
usethisMagicQuadranttohelpidentifyandevaluatetherightprovidersofabroadrangeofSAPservices
fortheirorganization.ThisMagicQuadrantisnotsuitableforclientslookingforbestofbreedservice
providersforaspecificmodule,applicationorindustry.GartnerdocumentscoveringCRMservices,supply
chainservices,testingservicesorbusinessintelligence(BI)servicesarebettersuitedforsuchpurposes.
Inaddition,Gartnerpublishesacompaniondocument,"MagicQuadrantforSAPApplicationManagement
ServiceProviders,Worldwide,"tohelpclientsidentifyleadingprovidersofmanagedservicesfortheirSAP
productivesystems.
Thereareover3,200servicepartnersandover4,200channelpartners/distributorsintheSAPecosystem
worldwide.ThisMagicQuadrantassesses17oftheleadingserviceproviders.Eachproviderhasitsown
strengthsandweaknesses,andeachismoresuitableforsometypesofengagementsandsome
clients/industriesthanothers.Manycapableproviders,notincludedinthisstudybecauseofourinclusion
criteriaandmethodology,maybeabetterfitforspecificSAPimplementationprojects,dependingon
module,resourcingobjectives,sizeofproject,geographyandotherfactors.Clientsareadvisedtotalktoa
Gartneranalysttonarrowdownashortlistofbestfitserviceproviders.
InthisMagicQuadrant,weevaluateserviceprovidersforSAPprogramsthatinclude:
Abilitytoprovideacomprehensivesetofconsulting,systemintegrationandimplementation
servicesacrossmultipleSAPapplications,productsandtechnologies
Abilitytoservicemultipleindustries(seeNote1)inmultiplegeographies(seeNote2)
Forthisreport,weusethefollowingdefinitions:
Consultingservicesareadvisoryservicesdesignedtohelpcompaniesanalyzeandimprovethe
effectivenessofbusinessoperationsandtechnologystrategies.Thesegobeyondtechnical
blueprintingtoincludeoperatingmodelchanges,businessprocessimprovement,standardization
andharmonizationofprocesses,andsoforthwhentheyarepartoftheSAPprogram.Theyalso
includeprogrammanagement,changemanagementandgovernance.
Systemintegrationandimplementationservicesincludeconfiguration,customizationand
enhancementofexistingSAPfunctionalitiesapplication,reportandinterfacedevelopmentand
dataloading,rollout,integration,testingandtrainingservices.

Methodology
GartnerevaluatesserviceprovidersontheirAbilitytoExecuteandtheirCompletenessofVision.
Evaluationisinformedbyacomprehensivesetofprimaryandsecondaryresearchactivities,including
177clientreferencessuppliedbytheevaluatedserviceprovidersfeedbackfromGartnerclientsand
insightsfromclientinquiriesthroughouttheyearadetailedvendorsurveybriefingsandpublicly
availableinformation.Thisresearchwaspeerreviewedby14otherGartneranalyststheirviewsand
commentsweretakenintoaccount.Inaddition,thisdocumentwaspresentedanddefendedataGartner
ApplicationServicesResearchCommunitysession.Formoredetailsregardingthemethodology,seethe

ACRONYMKEYANDGLOSSARYTERMS
BI

businessintelligence

BPC

businessplanningandconsolidation

BPO

businessprocessoutsourcing

CPG

consumerpackagedgoods

GRC

governance,riskandcompliance

Hana

SAP'sinmemoryHighPerformance
AnalyticAppliance

MCaaS

managedcloudasaservice

MII

ManufacturingIntegrationand
Intelligence

MRO

maintenance,repairandoperations

RDL

RiverDefinitionLanguage

RDS

RapidDeploymentSolutions

S&OP

SalesandOperationsPlanning

SaaS

softwareasaservice

SI

systemintegrator

TCO

totalcostofownership

EVIDENCE
EvaluationinthisMagicQuadrantisinformedby:
PrimaryresearchFacetofaceandphone
briefingswiththe17participatingserviceproviders
intheMagicQuadrant.
PrimaryresearchGartnerinquiriesand
discussionsconductedinthepast12monthswith
serviceprovidersanduserorganizationclients.
PrimaryresearchDiscussionswithGartner
clientsthatgenerouslyprovidedimpartialfeedback
ontheirserviceproviders.
PrimaryresearchFeedbackfrom177client
references,submittedbytheparticipatingservice
providers,usingonlinesurveysandfollowup
interviewswithasubsetofthesereferences.
PrimaryresearchAdetailedvendorsurvey
coveringrevenue,staffing,geographiccapabilities,
industryandprocessassets,partnerships,joint
initiatives,investmentsandotherrelevant
information.
SecondaryresearchPressreleasesandpublicly
availableinformation,includingcompanywebsites
andfinancialreports.
OtherGartneranalystsThisdocumentwaspeer
reviewedby14otherGartneranalyststheirviews
andcommentsweretakenintoaccount.In
addition,thisdocumentwaspresentedand
defendedatthe5June2014GartnerApplication
ServicesResearchCommunitysession.

Evidencesection.

NOTE1
INDUSTRIES

MagicQuadrant

ThisMagicQuadrantaddressesthecapabilitiesofthe
includedvendorsinthefollowing22industries:

Figure1.MagicQuadrantforSAPImplementationServiceProviders,Worldwide

Financialservices:Banking
Financialservices:Insurance
Financialservices:Otherfinancialservices
Manufacturing:Oilandgas,chemicals,processand
resource
Manufacturing:Automotive
Manufacturing:Aerospaceanddefense
Manufacturing:Industrialdiscrete
Manufacturing:Hightech
Manufacturing:Consumergoods
Manufacturing:Othermanufacturing
Manufacturing:Lifesciences
Healthcare(Provider)
Publicsector

Communications
Utilitiesandenergy
Wholesale
Retail
Services
Travelandtransportation
Agriculture,miningandconstruction
Education
Notforprofit

NOTE2
COUNTRIESPERREGION
ThisMagicQuadrantaddressesworldwidecapabilities
oftheincludedvendorsinthefollowingregions:
NorthAmerica:UnitedStatesandCanada
LatinAmerica:Argentina,Bolivia,Brazil,Chile,
Colombia,CostaRica,Ecuador,Guatemala,
Mexico,Panama,Peru,UruguayandVenezuela
Asia/PacificandJapan:Australia,Bangladesh,
China,HongKong,India,Indonesia,Japan,South
Korea,Malaysia,NewZealand,Pakistan,the
Philippines,Singapore,SriLanka,Taiwan,Thailand
andVietnam
EMEA:Austria,Algeria,Azerbaijan,Bahrain,
Belarus,Belgium,Bulgaria,Cameroon,Cte
d'Ivoire,Croatia,CzechRepublic,Denmark,Egypt,
Finland,France,Germany,Greece,Hungary,
Iceland,Ireland,Israel,Italy,Jordan,Kazakhstan,
Kenya,Kuwait,Lebanon,Libya,Lithuania,
Luxembourg,Morocco,Netherlands,Nigeria,
Norway,Oman,Poland,Portugal,Qatar,Romania,
Russia,SaudiArabia,Serbia,Slovakia,Slovenia,
SouthAfrica,Spain,Sweden,Switzerland,Syria,
Tunisia,Turkey,Ukraine,UnitedArabEmirates,
theUnitedKingdomandYemen

EVALUATIONCRITERIADEFINITIONS

Source:Gartner(July2014)

VendorStrengthsandCautions
Accenture
AccenturehasthelargestSAPservicepracticeglobally,with38,500professionals,ofwhomaboutathird
areincostcompetitivelocationswithinitsGlobalDeliveryNetwork.Inthelast12months,itdelivered
SAPservicestomorethan1,000clientsgloballyandisagainthesystemintegrator(SI)partnerdriving
thehighestSAPcollaborativerevenueglobally.Implementationaccountedforanestimated66%ofits
SAPbusinessgloballyin2013,withtherestcomingfrominfrastructureservices,hostingandapplication
managementservices.In2013,AccenturederiveditsSAPimplementationbusinessfrom16outofthe
22industriesdefinedinthisMagicQuadrant,withthemainonesbeingoilandgas/chemicals/resources,
consumergoods,energyandutilities,publicsector,hightech,retail,andminingandconstruction,butit
hasarepositoryof20,000processmodelsacross20SAPindustrysolutions.Accenturederivesthe
majorityofitsSAPimplementationbusinessfromcompanieswithmorethan10,000employees.
Accentureinvestsin20SAPindustriesbutprioritizesthefollowinggrowthindustries:financialservices,
retailandtelecommunications.
Strengths
ScaleandglobalreachAccenturehasdeepandbroadcapabilitiesspanningtheSAPportfolioof
productsandtechnologies,acrossindustries,geographiesandservicelines.Ithasagoodspreadof
consultantsacrossdifferentregions,anditisaparticularlygoodfitforlargeglobalprogramsthat
requireglobalreachandonshore,nearshoreandoffshoreresources.
StrengthsandinvestmentsinnewSAPtechnologiesAccenturecontinuestoinvestin
solutionsandcapabilitiesinnewerSAPtechnologies,includingHana,mobilityandcloud.Itisalso
thelargestandmostexperiencedpartnerforAriba,SuccessFactorsandhybrisbecauseofits
partnershipwiththesesoftwarevendorsbeforetheiracquisitionbySAP.AccentureandSAP
BusinessSolutionsGroup,therecentcoinnovationwithSAP,currentlyhavetwosolutionsinthe
market:aMarketingPerformanceSolutionbyAccentureandSAPforchiefmarketingofficersand
UpstreamProductionOperationsbyAccentureandSAPfortheoilandgasindustry.Bothsolutions
arebuiltonHana.Inaddition,AccenturedeliversitsownHRAuditandCompliancesoftwareasa
serviceontheSAPHanaCloudPlatform.
DeliverypredictabilityandleadershipAccenturebringsitsprovenmethodologiesastrict
disciplineandgovernanceabroadrangeoftools,frameworks,industryprocessmapsand
acceleratorsandanindustrializedprocesstoitsengagements,ensuringahighlevelofpredictability
forthemostcomplexprograms.ClientsvalueAccenture'sabilitytoprovideleadership,discipline,an
independentpointofview,bestpracticesandstakeholderalignment.
Cautions
LesssuitedtosmallerclientsAccenture'sSAPpracticemostlyservesthelargestenterprisesin
eachcountry.Smallandmidsizeclientsmaynotgettheresourceavailabilityandattentionthey
needfromAccenture.
ResourcinggapsandinconsistencyEvenwithAccenture'sscale,someclientsinsmaller
marketshavereportedchallengesinstaffingandfindingtherightresourcesfortheengagement.
Similarly,resourcequalityandexperienceforthesamerolescanvarywidelybycountry.
PremiumpriceClientscontinuetoperceiveAccenture'spricing,especiallyinsubsequentrollout
phases,tobehigh.

AbilitytoExecute
Product/Service:Coregoodsandservicesofferedby
thevendorforthedefinedmarket.Thisincludes
currentproduct/servicecapabilities,quality,feature
sets,skillsandsoon,whetherofferednativelyor
throughOEMagreements/partnershipsasdefinedin
themarketdefinitionanddetailedinthesubcriteria.
OverallViability:Viabilityincludesanassessmentof
theoverallorganization'sfinancialhealth,thefinancial
andpracticalsuccessofthebusinessunit,andthe
likelihoodthattheindividualbusinessunitwillcontinue
investingintheproduct,willcontinueofferingthe
productandwilladvancethestateoftheartwithinthe
organization'sportfolioofproducts.
SalesExecution/Pricing:Thevendor'scapabilitiesin
allpresalesactivitiesandthestructurethatsupports
them.Thisincludesdealmanagement,pricingand
negotiation,presalessupport,andtheoverall
effectivenessofthesaleschannel.
MarketResponsiveness/Record:Abilitytorespond,
changedirection,beflexibleandachievecompetitive
successasopportunitiesdevelop,competitorsact,
customerneedsevolveandmarketdynamicschange.
Thiscriterionalsoconsidersthevendor'shistoryof
responsiveness.
MarketingExecution:Theclarity,quality,creativity
andefficacyofprogramsdesignedtodeliverthe
organization'smessagetoinfluencethemarket,
promotethebrandandbusiness,increaseawareness
oftheproducts,andestablishapositiveidentification
withtheproduct/brandandorganizationintheminds
ofbuyers.This"mindshare"canbedrivenbya
combinationofpublicity,promotionalinitiatives,
thoughtleadership,wordofmouthandsalesactivities.
CustomerExperience:Relationships,productsand
services/programsthatenableclientstobesuccessful
withtheproductsevaluated.Specifically,thisincludes
thewayscustomersreceivetechnicalsupportor
accountsupport.Thiscanalsoincludeancillarytools,
customersupportprograms(andthequalitythereof),
availabilityofusergroups,servicelevelagreements
andsoon.
Operations:Theabilityoftheorganizationtomeet
itsgoalsandcommitments.Factorsincludethequality
oftheorganizationalstructure,includingskills,
experiences,programs,systemsandothervehicles
thatenabletheorganizationtooperateeffectivelyand
efficientlyonanongoingbasis.
CompletenessofVision
MarketUnderstanding:Abilityofthevendorto
understandbuyers'wantsandneedsandtotranslate
thoseintoproductsandservices.Vendorsthatshow
thehighestdegreeofvisionlistentoandunderstand
buyers'wantsandneeds,andcanshapeorenhance
thosewiththeiraddedvision.
MarketingStrategy:Aclear,differentiatedsetof
messagesconsistentlycommunicatedthroughoutthe
organizationandexternalizedthroughthewebsite,

Atos
Atoshasnearly10,700SAPskilledprofessionals.Anestimated42%ofitsglobalSAPrevenueisderived
fromimplementationservicestheremainder(58%)isderivedfromapplicationmanagementand
infrastructureservices.AboutathirdofitsSAPprofessionalsarelocatedinglobaldeliverycenters
managedgloballyaspartofAtosglobalprofitandloss.In2013,AtosderiveditsSAPimplementation
businessfrom16outofthe22industriesdefinedinthisMagicQuadrant,withthemainonesbeing
industrial,publicsector,energyandutilities,retail,andoilandgas.AtosderivesthemajorityofitsSAP
implementationbusinessfromlargecompanieswithmorethan10,000employees.

advertising,customerprogramsandpositioning
statements.
SalesStrategy:Thestrategyforsellingproductsthat
usestheappropriatenetworkofdirectandindirect
sales,marketing,service,andcommunication
affiliatesthatextendthescopeanddepthofmarket
reach,skills,expertise,technologies,servicesandthe
customerbase.

Atosfocusesitsinvestmentsinthefollowingkeyindustries:healthcare,processindustry,chemical,retail
andbanking.

Offering(Product)Strategy:Thevendor'sapproach
toproductdevelopmentanddeliverythatemphasizes
differentiation,functionality,methodologyandfeature
setsastheymaptocurrentandfuturerequirements.

Strengths

BusinessModel:Thesoundnessandlogicofthe
vendor'sunderlyingbusinessproposition.

StrongpresenceinEuropeOneoftheleadingSIsinEurope,Atosisparticularlystrongin
France,Germany,Benelux,theU.K.,andCentralandEasternEurope,anditisexpandingintothe
MiddleEastandNorthAfrica,SouthAfrica,theCommonwealthofIndependentStates,Brazil,
MexicoandChina.Atosderivesnearly80%ofitsSAPservicerevenuefromEMEA.ItsEuropean
centricheritageandpresencecontinuetodefineittothisday.
IndustryfocusAtosfocusesonasetofindustriesthatinclude:manufacturing,retail,utilities,
publicsector,automotive,chemicals,healthcareandfinancialservices.Atosactivelypartnerswith
SAPtodevelopnewsolutionsbasedontheirdaytodayinteractionswiththeirclients,including
Atos'largestaccount,Siemens.
ExpertiseinselectedofferingsAtoshasinvestedinandhasmorethan10yearsofexperience
withlargeandcomplexconsolidationandharmonizationprograms,mostlyforEurope
headquarteredclientswithglobalreach.ItisaleadingproviderinapplyingSAPsustainability
solutionsforenergyandsustainableoperations.Itisakeyimplementationpartnerforenterprise
mobileproducts,aswellasdevelopingmobileappstoextendSAPproducts.Inaddition,Atoshasa
cloudfocusthroughCanopyitsdedicatedcloudcompanythatoffersinfrastructureasaservice,
aswellasbundledlicense/service/hostingcloudsolutions(forexample,anHRforFinancialServices
cloudsolution).AtosisacertifiedHanaEnterpriseCloudprovider.
Cautions
GlobalcoverageAtoslagsbehinditsTier1competitorsoutsideitsmainmarketsinEurope.Its
brandandpresenceinNorthAmerica,AsiaandLatinAmericaislimited.However,itisimproving
andcurrentlyhassevenoffshoreandnearshoreglobaldeliverycentersandhaslocalSAPpresence
in35countries.InAtos'mainmarketsinEurope(Benelux,France,GermanyandtheU.K.),itfaces
increasingcompetitionfromthelargeIndianserviceprovidersofferinglowercostoptions.
LackofmindshareoutsideproductmanufacturingindustriesAlthoughAtoshasstrong
SAPapplicationsandtechnicalcapabilities,ithasnotbeenverysuccessfulingainingmindshare
broadlyasaleadingSAPserviceproviderorasaninnovativeprovideroutsideofEurope.Atosisnot
wellrepresentedincompetitiveshortlistsoutsidetheproductmanufacturingindustries.
Vision,consultingcapabilitiesandbusinessexpertiseWhileAtos'SAPapplicationand
systemintegrationexpertiseareratedhighlybyclients,clientsscoreAtosbelowaverageonits
visionandthoughtleadership,consulting/advisoryandprocessimprovementcapabilitiesand
businessacumen.

Capgemini
Capgeminihas14,870SAPskilledprofessionals.Anestimated65%ofitsglobalSAPbusinessisderived
fromimplementation,and35%isderivedfrominfrastructureservices,hostingandapplication
management.Nearly40%ofitsSAPprofessionalsarelocatedinglobaldeliverycenters.Capgeminihad
morethan1,300SAPserviceclientsworldwidein2013.CapgeminideriveditsSAPimplementation
businessfrom21outofthe22industriesdefinedinthisMagicQuadrant,withthemainonesbeingoil
andgas,consumergoods,energyandutilities,andservices.CapgeminiderivesitsSAPimplementation
businessfromcompaniesofallsizes.
Capgeminifocusesitsinvestmentsinthefollowingindustries:retail/consumerpackagedgoods(CPG),oil
andgas,utilities,manufacturing,publicsector,andfinancialservices.
Strengths
HeavyinvestmentsinnewertechnologiesCapgeminihasmadesignificantinvestmentsin
SAP'snewertechnologies,whichhaveresultedinCapgeminiboastingatrackrecordofdoing/having
done10SuiteonHanaprojects(fivelive),30BWonHanaprojects,numerousnewapplicationson
Hana,amobileDirectStoreDeliveryapplicationcoinnovationwithSAP,andproofsofconceptwith
HanaandHadoopforBigData.
AlternativedeliveryandpricingCapgeminicontinuestoinnovateondeliveryandpricing
modelsthatofferclientsdifferentalternativestobuyingandpayingforSAPsystems.Itsmanaged
cloudasaservice(MCaaS)offering,branded"OnePath,"includesseveralofitspreconfigured
industrysolutionsthatareofferedasabundleofsoftwareandservicesSAPlicense,design,
implementation,infrastructureservices,applicationmanagement,hostingandbusinessprocess
outsourcing(BPO)andthatcanbeboughtonasubscriptionbasis.TheseOnePathsolutionsare
builtonSuiteonHana.
SAPapplicationexpertiseandrapidimplementationClientsaregenerallyimpressedwith
Capgemini'sSAPapplicationandproductexpertise,seniorleadershipengagement,andrapid
implementation.
Cautions
LimitedcoverageandclientbaseinAsia/PacificCapgemini'straditionalregionisEMEA,
whichcontinuestoprovidemorethanhalfofitsbusiness.ItisgrowingrapidlyinNorthAmerica,
whichnowmakesupoverathirdofitsbusiness.ItsacquisitionofCPMBraxishasimprovedits
presenceanddeliverycapabilitiesinLatinAmerica,particularlyinBrazil.However,itslocalpresence
inAsia/Pacificiscurrentlylimited,despiteachievingtripledigitgrowthandrecentlyannouncingthe
formationofadedicatedAsia/Pacificbusinessunitdesignedtoaccelerateitsgrowthfurther.
Currently,themajorityofitsconsultantsbasedinAsia/Pacificareinglobaldeliverycentersservicing
EuropeanandNorthAmericanclients.

Vertical/IndustryStrategy:Thevendor'sstrategy
todirectresources,skillsandofferingstomeetthe
specificneedsofindividualmarketsegments,including
verticalmarkets.
Innovation:Direct,related,complementaryand
synergisticlayoutsofresources,expertiseorcapital
forinvestment,consolidation,defensiveorpre
emptivepurposes.
GeographicStrategy:Thevendor'sstrategytodirect
resources,skillsandofferingstomeetthespecific
needsofgeographiesoutsidethe"home"ornative
geography,eitherdirectlyorthroughpartners,
channelsandsubsidiariesasappropriateforthat
geographyandmarket.

InconsistencyindeliveryqualityWhileCapgeminihasinvestedinmakingitsdeliverymore
globallyconsistentthroughitsiSAPmethodology,globalgovernanceandcommontools,delivery
qualityvarieswidely,withsomeclientsreportinghighlevelsofsatisfactionwhileotherswereless
thanthrilledwiththeirprojectteamperformance.Clientsarecautionedtobediligentinchecking
theprojectteam'squalifications.
Healthcare,educationandinsurance,Ariba,andhybrisCapgeminihasrelativelyless
experienceandexpertiseoutsidethefivekeysectorsofretail/CPG,utilities,manufacturing,public
sectorandbanking.Capgemini'sexperienceinAribaandhybrisisalsomorelimitedthanits
competitors',althoughitisrapidlybuildingitshybriscapability.

Cognizant
CognizantisoneofthefastestgrowingITservicesfirms.ItisbasedintheU.S.butknownforitsIndia
basedoffshoremodel.Cognizanthasmorethan7,700SAPskilledprofessionals.Anestimated57%ofits
globalSAPbusinessisderivedfromimplementationtheother43%isfrominfrastructureservices,
hostingandapplicationmanagement.About70%ofitsSAPprofessionalsarelocatedinglobaldelivery
centers.In2013,CognizantderiveditsSAPimplementationbusinessfrom17outofthe22industries
definedinthisMagicQuadrant,withthemainonesbeingmanufacturing,retail,consumergoods,life
sciences,andutilitiesandenergy.CognizantderivesthemajorityofitsSAPimplementationbusiness
fromcompanieswithmorethan10,000employees.
Cognizantfocusesitsinvestmentsinthefollowingindustries:lifesciencesandhealthcare,retailand
hospitality,manufacturingandlogistics,consumergoods,financialservices,communication,technology,
andmedia.
Strengths
StronggrowthCognizant'sSAPpracticehasconsistentlygrowninthe20%to30%rangeover
thelastfewyears,aresultofstrongsales,accountmanagementanddeliverycapabilities.In2013,
growthinEuropewasespeciallystrongithasgrownorganicallyandthroughacquisitions(suchas
theacquisitionofGermanybasedC1Group).StronggrowthhasenabledCognizanttoinvestinits
SAPpractice(suchasinnovationcenters,training,toolsandcapabilitiesinthenewerSAPfamilyof
products),aswellastoattractgoodtalent.Ittargetsspecificindustriesanddomainsfor
investments,anditcontinuestocapitalizeonitscosteffectiveoffshoredeliverymodelandstrength
intestingservices.
ValueformoneyWhileCognizantisnottheleastexpensiveserviceprovider,clientscite
Cognizantaspricecompetitiveandagoodvalueformoney.Cognizant'shighlyoffshoreleveraged
businessmodel,coupledwithinvestmentsinlocalresourcestocreatewhatCognizantcallsthetwo
inaboxmodelofpairingkeyonshoredeliveryroleswiththeiroffshorecounterpartsaswellas
investmentsinknowledgemanagementsystems,suchastheCognizant2.0portal,andtoolsand
reusableassetstoaccelerateimplementationhaveresultedinqualityworkatacompetitiveprice
point.
DeliveryfocusClientsareimpressedbyCognizant'sfocusonsuccessfullydeliveringtheproject,
itswillingnesstoworkwiththeclienttoovercomechallenges,itscommitmenttoalongterm
partnership,anditsflexibilityinstaffingandadaptingtotheclient'srequirements,suchastraining
itsstafftouseagilemethodologytoimplementSAPforaEuropeanconglomerate.
Cautions
LimitedpresenceinLatinAmericaandAsia/PacificNorthAmericaandEuropecontinueto
providethebulkofCognizant'sSAPbusiness,estimatedatover90%ofitsSAPimplementation
businessin2013.ItslocalpresenceinLatinAmericaandAsia/Pacificissporadic,andthemajorityof
itsconsultantsbasedinAsia/PacificareinglobaldeliverycentersservicingEuropeanandNorth
Americanclients.
GapsinprojectdeliverycapabilitiesAlthoughrapidlyimproving,Cognizant'sSAPpracticeis
stillmaturingasitmovesupthevaluechainintomorecomplexglobalprojects.Whileithas
deliveredprojectsincomplextransformationalprograms,itstrackrecordinthisspacelagsbehind
thoseofitsmajorcompetitors.Itneedstoenhanceitsprogramandprojectmanagement,change
management,andadvisorycapabilities.
LimitedindustrycapabilitiesoutsideitstargetverticalsOutsideitsfocusedindustries,
Cognizanthaslimitedindustryandprocessskills.Evenwithinitstargetverticals,itsbenchof
consultantswithstrongindustryandprocessskillscanbedeeper.

CSC
CSChasmorethan8,000SAPskilledprofessionals.AbouthalfoftheSAPprofessionalsarelocatedin
globaldeliverycenters.Anestimated40%ofitsSAPbusinessisderivedfromimplementation,andthe
restisderivedfrominfrastructureservices,hostingandapplicationmanagement.In2013,CSCderived
itsSAPimplementationbusinessfrom19outofthe22industriesdefinedinthisMagicQuadrant,with
themainonesbeingpublicsector,aerospaceanddefense,oilandgas/chemicals,andbanking.CSC
derivesthemajorityofitsSAPimplementationbusinessfromcompanieswithmorethan2,500
employees.
CSChasfocuseditsrecentinvestmentsinthefollowingpriorityindustries:aerospaceanddefense,public
sector,banking,defenseandsecurity,chemicals,andautomotive.
Strengths
GlobalalignmentandrenewedinvestmentsAsaresultofCSC'sglobalreorganization,its
SAPimplementationpracticeisnowacorepartofitsconsultingpractice,makingiteasier
organizationallyforCSCtobringconsultingcapabilitiestoitsSAPengagements.Amongsomeofits
keyinvestmentsareindustryspecificsolutions,mobility,Hana,cloudsolutionsandcorebanking.
PublicsectorCSChasperformedsomeofthemostcomplexSAPengagementsforseveralU.S.
governmentagencies,includingtheU.S.Army'sLogisticsModernizationProgramandCustomsand
BorderProtection.CSChasapproximately370U.S.federalSAPexperts,specializinginsolutions
suchasSAPfinancialmanagement,federallogisticssolutions,SAPfraud,wasteandabuse,SAP
mobility,andanalytics/Hanasolutions.CSCalsoprovidessignificantSAPpublicsectorworkin
AustraliaandinpartsofEurope.
CapabilitiesanddeliverycommitmentClientsareimpressedbyCSC'sprojectmanagement
capabilities,SAPandITexpertise,commitmenttodelivery,andseniormanagementinvolvement.

CSCisalsostronginsystemintegration,inparticular,intheintegrationofSaaS/cloudenvironments
withonpremisesSAPandlegacyenvironments.
Cautions
BusinesstransformationcapabilitiesAlthoughCSC'sSAPpracticeisnowpartofits
consultingpractice,clientscontinuetoreportthatCSCcanbebetteratbusinesstransformationand
organizationalchangeanddesign,intermsofadeeperbench,aswellasdeeperexpertise.
GlobalintegrationinprogressWhileCSCstrivestobecomegloballyintegrated,itisstillvery
muchaworkinprogress.Ithaspocketsofstrongcapabilitiesinspecificindustriesincertain
countries,anddifferentindustriesinothercountries.Also,CSC'scoverageandclientbaseinAsia
andLatinAmericaaresomewhatlimited.
SizeandgrowthoftheSAPimplementationbusinessCSCneedstobalanceitsportfolioof
SAPservicestoincreasethepercentageofbusinessfromimplementation.Withanestimated40%
ofitsSAPbusinessfromimplementation,itisoneofthesmallerprovidersinthisstudy.Additionally,
itsSAPimplementationservicebusinesshasnotperformedaswellastheotherprovidersinterms
ofgrowth,whichaffectsitsscoresinoverallviability.

Deloitte
Deloitteisaglobalnetworkofaccounting,tax,consultingandadvisorymemberfirmswithabroadIT
servicesportfolio.Ithasmorethan12,500SAPskilledprofessionalsworldwide.AboutaquarterofitsSAP
professionalsarelocatedinglobaldeliverycenters.Around88%ofitsSAPbusinessisderivedfrom
implementation,andtherestisfromitsemergingapplicationmanagementpractice.In2013,Deloitte
deriveditsSAPimplementationbusinessfrom20outofthe22industriesdefinedinthisMagicQuadrant,
withthemainonesbeingconsumergoods,retail,lifesciences,manufacturingandhightech.Deloitte
derivesthevastmajorityofitsSAPimplementationbusinessfromcompanieswithmorethan2,500
employees.
Deloittefocusesitsinvestmentsinthefollowingindustries:consumerbusiness,energyandresources,
financialservices,lifesciencesandhealthcare,manufacturing,technology/mediaandtelecom,andpublic
sector.
Strengths
MultiplecompetenciesDeloittehasmultiplecompetenciesthatitcandrawontoassistanSAP
enabledbusinesstransformation.Thesecompetenciesincludestrategyandoperations,technology,
humancapital,tax,andenterpriseriskservices.Inaddition,Deloittehas"feetontheground"in
150countries,allowingittobringknowledgeoflocallaws,regulations,businesspracticesand
culturetoanyengagement.
QualitydeliveryskillsClientsperceiveDeloittetobegoodatleadingcomplexchangeprograms,
withtherightlevelofpartnership,flexibilityandqualityofservice.Industryexpertise,process
knowledgeandabilitytobringbestpracticestotheengagementarealsocitedasstrengths.
TrackrecordandexperienceinnewertechnologiesandinnovationDeloittehas
demonstratedtheabilitytorespondandachievecompetitivesuccessasopportunitiesdevelopedfor
newerSAPtechnologies.Specifically,ithasimplementedanaboveaveragenumberofengagements
inHana,SuccessFactors,Ariba,hybrisandmobile.Inaddition,Deloittehasinvestedinanumberof
innovativesolutions,includingaHanabasedriskondemandanalyticplatformthatconsolidatesand
aggregatesdatatogiveacompleteunderstandingofriskacrosstheentireorganizationinrealtime.
Cautions
PremiumpricePricingisoneofthemostcommonreasonsforclientstodisqualifyDeloitte
duringthecompetitivebiddingprocess.Itshigherpriceisduetoacombinationofalargernumberof
resourcesproposedandahigherpercentageofmoreexpensiveresourcesintheprojectteammix.
Althoughithassignificantlygrownitsoffshorecapabilities,Deloittealsotendstoutilizealower
percentageofoffshoreresourcescomparedwithsomeofitscompetitors,whichalsodrivesupits
overallpriceinhighpricelocations.
GlobalconsistencyAlthoughDeloittehastakenstepsinrecentyearstoimproveglobal
consistency,capabilitiescontinuetobeunevenacrossdifferentcountries.Capabilitiesinsingle
countryengagementsinsmallermarketsarestillmaturingthelevelofcapabilitiesanduseoftools
cansometimesdifferbycountry.
InconsistentresourceskillsWhileDeloitteistraditionallyknownforitschangemanagement
capabilities,severalclientshavebeenlessthansatisfiedwiththechangemanagementresources
assignedtotheirSAPprograms.Clientshavealsonotedweakerresourcesinsystemintegrationand
auxiliaryworkonnonSAPtechnologies.Integrationacrossdifferentservicelinesissometimesnot
asseamlessasclientsexpect.

EY
EY(formerlyErnst&Young)isaglobalnetworkofmemberfirmsthatprovideassurance,taxand
advisoryservices.Ithasmorethan3,600SAPskilledprofessionalsworldwide.About10%ofitsSAP
professionalsarelocatedinglobaldeliverycenters.AllofitsSAPbusinessisderivedfromimplementation.
In2013,EYderiveditsSAPimplementationbusinessfrom18outofthe22industriesdefinedinthis
MagicQuadrant,withthemainonesbeingenergyandutilitiesandautomotive.EYderivesthevast
majorityofitsSAPimplementationbusinessfromcompanieswithmorethan2,500employees.
EYreneweditscommitmenttotheSAPimplementationmarketin2010.Sincethen,ithasgrownvery
rapidly,chalkingupover50%growthin2013.Itisalsoexpandedthroughacquisitions,havingbought
LogiStarSolutionsforitsSAPsupplychainexecutioncapabilitiesandFivePointforitscustomercareand
billingsystemimplementationservicesforthepowerandutilityindustry.EYfocusesitsinvestmentsin
thefollowingindustries:manufacturing,lifesciences,financeandinsurance,consumergoods,powerand
utilities,andcommunications.
EY'spositionintheVisionariesquadrantreflectsitsstrongvisionintheapplicationofnewertechnologies,
useofalternativedeliverymodels,andinvestmentininnovation,suchasanalytics,fraudmanagement
andgovernance,riskandcompliance(GRC)cloud.However,EYhasanemergingtrackrecordinlarge
globalSAPimplementationandneedstocontinueitsaggressivegrowthinsomeregions.
Strengths

RapidgrowthbuiltontraditionalstrengthsEY'sstrengthsinitsSAPpracticearebuiltupon
itscoretraditionalstrengthsinperformanceimprovement,finance,tax,controlsandrisk
management.Serviceofferingstrengthsincludeprogrammanagementbusinessengagementand
readinessrequirementdefinitionandprocessdesignfinanceperformanceimprovementplanning
budgetingforecastingimplementingGRC,businessplanningandconsolidation(BPC)andsalesand
operationsplanningandtaxeffectivesupplychain.Clients'feedbackindicatesthatEYconsultants
demonstratestrongleadershipandindustryexpertise,areabletorecommendmoreefficient
businessprocesses,andarecommittedtoprojectsuccess.
InvestmentsininnovationEYisrapidlybuildingupcredentialsinthenewertechnologies,
includingHana,cloudandSuccessFactors.Inaddition,ithasananalyticsasaserviceofferingand
hasseveralcoinnovationinitiativeswithSAP,includingpredictivefraudmanagement,integrated
businessplanningonHanaEnterpriseCloud,taxtransformationandGRCCloudServices
impressiveforarelativenewcomertotheSAPimplementationscene.
TrustedadvisorstatusLeveragingtheEYbrandandotherservicelinecapabilities,EY'sSAP
practicehascredibilitywithbusinessusersandisabletoaligntheSAPchangeprogramtotheneeds
ofthebusiness,makingEYastrongcontendertohelpitsclientsinqualityassuranceandbenefit
realizationinanSAPprogram.
Cautions
LackofscaleAlthoughgrowingrapidly,EYhasastaffbenchthatcanlimititsabilitytoservice
multiplelargescaleglobalprojects.Itpartnerswithotherservicecompaniesforsuchprojects.
MaturingglobaldeliverymodelClientsreportedEYasbeingahighercostproviderduetoits
limitedoffshoreplay.Globalizationofitspracticeisstillaworkinprogress:NorthAmericaaccounts
foroverthreefourthsofitsrevenueinglobalprojects,clientsreportthattheyneedtoworkwith
EYpartnersineachmemberfirminthecountriesratherthanaglobalteamwhichEYseesasan
advantagegivingclientsaccesstotheirlocalleadershipbutsomeclientspreferaconsistentpoint
ofcontact.
LessmatureassetsWhileEYisfuriouslyinvestinginSAPimplementationspecifictoolsand
assets,typicallycustomizingthenontechnologyspecificonesitalreadyhas,theyarenotyetwell
testedinmultipleclientengagements,hardenedorindustrialized.Clientsreportthatitstoolsand
acceleratorsarenotasstrongasdemonstratedintheproposal,andimplementationmethodologies
arelessdefined.

HCLTechnologies
HCLTechnologieshasmorethan8,600SAPskilledprofessionals,ofwhomabout60%arelocatedin
globaldeliverycenters.Anestimated66%ofHCL'sSAPbusinessisderivedfromimplementation,andthe
restisderivedfrominfrastructureservices,hostingandapplicationmanagement.In2013,HCLderived
SAPimplementationrevenuefrom18ofthe22industriesdefinedinthisMagicQuadrant,thekeyones
beingaerospaceanddefense,oilandgas,utilitiesandenergy,transportation,consumergoods,andpublic
sector.HCLderivesthemajorityofitsSAPimplementationbusinessfromcompanieswithmorethan
2,500employees.
HCLfocusesitsinvestmentsinthefollowingindustries:aerospaceanddefense,utilities,manufacturing,
CPG/retail,andlifesciences.
Strengths
DeepexpertiseandbalancedinvestmentsOverall,HCLhasstrongexpertiseacrossthecore
setofSAPproductsandisinvestinginimplementingbothtraditionalandnewerSAPtechnologies.It
hasbuiltupgoodexperienceinHanaandhybrisandisinvestinginSuccessFactors.Byindustry,it
hasaparticularfocusandstrengthinaerospaceanddefense,hightechandmanufacturing,
consumergoods,lifesciences,utilitiesandenergy,andtravelandtransportation.Inparticular,it
hasdeepindustryknowledgeinmaintenance,repairandoperations(MRO)foraerospaceand
defense,anditbringstoengagementsitsiMROproduct,anSAPendorsed,upgradecompatible
industrysolutionaddon.ItsiCAREsolutionisaCRMtemplatethathelpscallcenterstaffprovide
effectiveandefficientcustomerservice.
FocusonbenefitrealizationOneofthefirstservicepartnerstoembedformalbenefit
realizationmethodologyintoSAPprogramdelivery,HCLworkswithclientstodeploysolutionswith
tangiblebusinessbenefits,enabledthroughacomprehensivesetofprocesses.Theseprocesses
includeidentifyingbusinessbenefitsandconvertingthesebenefitsintoquantifiablefinancialgains,
aswellasensuringdecisionsmadeduringimplementationarealignedwithbusinessbenefits
identifiedtherebymaximizingthepotentialfortheprogramtoachieveitsdesiredbusinessvalue.
Itswillingnesstoput"skininthegame"throughtyingaportionofitsfeestotherealizationof
identifiedbenefitsatteststoitsconfidenceinitsdelivery.
PartnershipapproachClientsreportthatHCLiseasytoworkwith,deliverswhatitsaysit
woulddeliverconsistently,providesstaffwithexcellentSAPskillsanddedicationtosupportprogram
objectives,andiscommittedtothesuccessoftheimplementation.ClientsalsoappreciateHCL's
abilitytogiveclearguidanceandbringbestpractices.
Cautions
LimitedpresenceinLatinAmericaandAsia/PacificMorethan90%ofHCL'sSAPbusiness
comesfromNorthAmericaandEurope.AlthoughHCLisdeliveringsomelargeSAPprogramsin
Asia/Pacific,itslocalpresenceinAsia/Pacificissporadic,andithasverylimitedbusinessinLatin
America.ThemajorityofitsconsultantsbasedinAsia/PacificandLatinAmericaareinglobaldelivery
centersservicingEuropeanandNorthAmericanclients.Geographicandlanguagecoverageare
belowthoseofitscompetitors,whichhasledtosubcontractingandtheneedforahighlevelof
supportfrombiggerpractices,suchastheU.K.andIndia.
BenchstrengthHCL'sbenchstrengthofconsultantsgloballyisnotasdeepasitskey
competitors.ClientshavenoticedthatwhileHCLhasstrongprojectmanagers,subjectmatter
expertsandotherkeyprojectresources,thereisaverylimitednumberofbackupresourcesincases
ofattritionwhichishigherthanaverageorleaveofabsence,increasingtheriskoftheproject.
Ithasalsoresultedinsomeclientsgettingweakerresourceswhoneededtobereplacedor
supplemented.
TooflexibleWhileflexibilityisappreciatedbyclients,theynotethatHCLconsultantsare
sometimestooflexibleandcouldhavepushedbackonthemwithindustrybestpracticesthatmay
havereducedsomecustomconfigurationintheend.Clientsalsocommentthattheywouldliketo

seestrongerprojectmanagement.

HP
HPisaglobalproviderofendtoendSAPserviceswithmorethan9,200SAPskilledprofessionals.HP
deliverstheseservicesatclientsitesandthrough18globaldeliverycenters,whereabout40%ofitsSAP
professionalsarelocated.Anestimated48%ofitsSAPbusinessisderivedfromimplementations,andthe
restisderivedfromapplicationmanagement,infrastructureservicesandhostingsupport.In2013,HP
deriveditsSAPimplementationbusinessfrom14outofthe22industriesdefinedinthisMagicQuadrant,
withthemainindustriesbeingconsumergoods,industrialmanufacturingandautomotive.Themajority
ofitsSAPimplementationbusinessisfromcompanieswithmorethan10,000employees,ofwhichmany
arealsoitsoutsourcingclients.
HPfocusesitsinvestmentsinthefollowingindustries:consumerservicesandretail,manufacturing,
travelandtransportation,healthcare,andlifesciences.
Strengths
EndtoendservicesHPbringstoclientsafullcomplementofcoreandnewSAPsolutions,
includingonpremisesandcloudsolutions.Buildingonitstraditionalstrengthsininfrastructureand
operations,HPoffersendtoendservicesdesign,build,runandoptimizetonewandexisting
clients.HPisextendingitsfocusondeliveringbusinessoutcomesinitsRunSAPServicestoits
implementationprograms.
StrongtechnicalcapabilitiesandinvestmentsHPisparticularlystrongintechnologybased
services,includinginfrastructureservices,includingnetworks,datacenterandvirtualization,
securityandintegration,andBasisskills.HPhasmadesignificantinvestmentsinHanaservices,
Hanabasedapplications,andtheHanaapplianceandcanprovideabundledsolution,includingHana
asaservice.HPalsoexcelsinSAPRapidDeploymentSolutions(RDS)togetclientsupandrunning
quickly.
ClientfocusClientsreportthatHPdisplaysastrongsenseofresponsibilityinprojectsuccess,
focusesonunderstandingbusinessrequirementsindetail,andoftenadvocatesandrecommends
industrybestpractices.
Cautions
GlobaldeliverymodelisstillmaturingWhileithasmadealotofprogressinitsglobal
deliverymodel,someclientsreportthatthequalityofresourcesinHP'sglobaldeliverycentersis
inconsistent,andcostisperceivedtobehigherthanaverage.
CapabilitygapsClientshaveobservedthatHPhassomegapsinimplementationcapabilitiesfor
someproductsintheSAPstackandlimitedbenchstrengthinothers.Someskillsetsarenotreadily
availableinsomegeographies,andseveralclientshavenotedthatturnoverofprojectteam
membersisachallengeevenasoverallattritionatHPisquitemuted.HPpartnerswithfirmsto
delivertofullclientdemandwheretherearecapabilitygaps.
BusinessconsultingWhileHPisstronginimplementation,itdoesnotyethavethefull
spectrumofbusinessconsultingcapabilitiestobeaonestopproviderinbusinesstransformational
programs.Forthese,HPcontinuestopartnerselectivelywithitsbusinessconsultingalliance
partners,suchasPwC.

IBM
IBMhasmorethan34,200SAPskilledprofessionals.AbouthalfofitsSAPprofessionalsarelocatedin
globaldeliverycenters.Anestimated55%ofitsSAPbusinessisderivedfromimplementation,andthe
restisderivedfrominfrastructureservices,hostingandapplicationmanagement.In2013,IBMderived
itsSAPimplementationbusinessfrom18outofthe22industriesdefinedinthisMagicQuadrant,with
themainonesbeingautomotive,consumergoods,publicsector,oilandgas,utilitiesandenergy,life
sciences,andtravelandtransportation.IBMderivesthemajorityofitsSAPimplementationbusinessfrom
companieswithmorethan10,000employees,butitsgeneralbusinessdivisionoffersSAPservicesto
midsizeclientsusingamoretemplatedapproach.
IBMfocusesitsSAPpracticeinvestmentsinthefollowingindustries:automotive,consumerproducts,
financialservices,lifesciences,travelandtransportation,telecommunications,andutilitiesandenergy.
Strengths
GlobalreachandscaleIBMhasthedepthandbreadthoftechnical,functionalandprocess
capabilitiesacrossalargenumberofindustries,aswellastheglobalreachforthelargestandmost
complexglobalimplementationsforthelargestcompanies.Itoffersmidsizeclientspackaged
offeringsusingitspreconfiguredindustryspecificsolutions.IBMoffersendtoendservices,including
design,build,rollout,host,manage/operateandBPO.
DeliverypredictabilityIBMhaswelltestedmethodologiesandanimpressivecollectionof
reusableassetlibrariesandtoolstohelpdrivesuccessfulcompletionofSAPprograms.Clients
appreciateIBM'sstrongexpertiseinSAPapplicationsandmultivendorcapabilitiestohelpintegrate
complexhybridonpremise/cloudenvironments,aswellasitsprojectmanagement,and
commitmentandabilitytodeliverundertighttimelines.
StrengthsandinvestmentsinSAP'snewertechnologiesIBMhasshowncommitmentto
SAPbyinvestinginSAP'snewertechnologiesandproducts,includingdevelopingnewsolutionson
Hana,evenwhilehavingoverlapwithsomeofitsownproductofferings.Its"LabforSAPSolutions"
showcasesendtoendindustryspecificofferings(suchasConnectedCare,loyaltymanagementand
predictiveanalytics),drivescoinnovationactivities,andprovidesaforumforcustomizedclient
workshopstotackleproblemsorintroduceinnovativethinkingthroughleveragingthebroader
IBMcapabilitiesfromIBMResearch,Watson,IBMStrategyandAnalytics,IBMInteractiveExperience
andIBMindustryspecialists.
Cautions
LesssuitablesegmentsIBMdoesimplementationinawiderangeofindustries,focusingon
selectedonesforincreasedinvestments.Clientsinotherindustriesincludingaerospaceand
defense,mediaandentertainment,education,andnotforprofitbenefitlessfullyfromthese
specificIBMinvestments.Smallorganizationsespeciallythosebelow$500millioninrevenue
willnotgettheattentiontheyneedfromIBM.

TightcontrolsandbureaucracyGivenIBM'ssizeandreach,clientscansometimesbe
challengedwhenworkingacrossIBM'svastinternallandscapeandprocesses.IBM'sSAPpracticeis
currentlysimplifyingitsorganizationalstructureandprocessestomakeiteasiertoworkwithand
poolresources,butinthemeantime,someclientsindicatethatdecisionmakingoncontracts,
approaches,changesandaccesstospecializedresourcescantakelongerthananticipated.
ResourcingchallengesDespiteIBM'sscale,someclientsfacechallengesinprojectteam
resourcing.Abilitytosecurelocalskilledresourceswithappropriatelocalknowledge,especiallyinthe
newergeographiesandsmallercountries,canbeachallenge,andthequalityofIBM'sresourcescan
attimesbeinconsistent.Inthelasttwoyears,IBMhasmadesignificantinvestmentsineducation
toincreasehighqualityresourcecapacity.

Infosys
Infosyshasnearly12,400SAPskilledprofessionals.Anestimated70%ofitsSAPprofessionalsare
locatedinglobaldeliverycenters.About60%ofitsSAPbusinessisderivedfromimplementation,andthe
restisderivedfrominfrastructureservices,hostingandapplicationmanagement.In2013,Infosys
deriveditsSAPimplementationbusinessfrom17outofthe22industriesdefinedinthisMagicQuadrant,
withthemainonesbeingautomotive,lifesciences,consumergoods,oilandgas/chemicals,hightech,
utilitiesandenergy,retail,andagriculture,miningandconstruction.Infosysderivesthemajorityofits
SAPimplementationbusinessfromcompanieswithmorethan10,000employees.
InfosysfocusesitsSAPpracticeinvestmentsinthefollowingindustries:lifesciences,retail,CPGand
logistics,hightech,processmanufacturing,automotive,utilities,financialservicesandinsurance.
Strengths
FocusonvaluerealizationInfosyshasdevelopedframeworksandmethodologiestofocusthe
implementationteamonvaluerealization,aligningtheclient'sSAPprogramswithdesiredbusiness
outcomes.Itswillingnesstosignupforoutcomebasedpricingbasedonvaluerealization
althoughseldomtakenupbyclientsisalsoaplus.
InvestmentsinnewertechnologiesanddeliverymodelsInfosysisinvestinginnewerSAP
technologies,includingmobile,cloudandSuccessFactors,Hana,UI5andFioritechnologies.
Investmentsinnewdeliverymodelsincludemanagedcloudasaservicesolutionsforoilfield
servicesandmedicaldevices,aswellasabusinessplatformsolutionforindirectprocurementthatis
pricedpertransaction.
StrongcapabilitiesatacompetitivepriceClientsindicateInfosysoffersstrongdelivery
capabilitiesincludingprogrammanagement(feedbackfromlegacyLodestoneclients),SAP
applicationandtechnologyexpertise,andflexibleandknowledgeableresourcesatacompetitive
price.
Cautions
NeedtoexpandpresenceinLatinAmericaandAsia/PacificWhileithasclientsinLatin
AmericaandAsia/Pacific,InfosyshaslimitedSAPimplementationbusinessfromtheseregionsand
fewimplementationprofessionalsonsiteinmanycountriesintheseregions.
ConsultingskillsWhileInfosyshasinvestedsignificantlyinconsultingcapabilities,includingthe
acquisitionofLodestone,clientfeedbackindicatesthatInfosyscanimproveitsdepthofbenchin
program/projectmanagement,changemanagement,depthofknowledgearoundbusiness
processes,localknowledge,thoughtleadershipandabilitytobringbestpracticestothe
engagements.
AttritionAttritionatInfosysisaboveaverageforthispeergroup.Atthecorporatelevel,the
departureofnumerouskeyexecutivesisdistractingattheprojectlevel,continuityofconsultants
hasbeenacauseforconcernamongsomeclients.

Neoris
Neoriswasoriginatedin2000fromtheinhousetechnologyarmofCemex,aleadingcompanyinthe
buildingmaterialsindustry.CemexcontinuestorelyonNeorisforitsSAPimplementationandglobal
platformsupport,armingNeoriswithexperienceinglobalrolloutsinmultiplecountriesaswellas
experimentationwithinnovationslikeHana,highperformanceanalyticsandsupplychainfunctions.
Followingacquisitionsandorganicgrowth,Neoristodayhasnearly3,000SAPconsultants,andSAP
makesupthreequartersofitstotalbusiness.ItisthelargestandmostexperiencedLatinAmerican
heritageSAPimplementationserviceprovider,servinglocalandPanLatinAmericanclients,aswellas
globalclientsinanearshoremodel.Nearly90%ofitsSAPbusinessisderivedfromimplementationthe
restisderivedfrominfrastructureservices,hostingandapplicationmanagement.About60%ofitsSAP
professionalsarelocatedinglobaldeliverycenters.
In2013,NeorisderiveditsSAPimplementationbusinessfrom14outofthe22industriesdefinedinthis
MagicQuadrant,withthemainonesbeingmanufacturing,financialservices,hightech,utilitiesand
energy,CPG,andagriculture,miningandconstruction.NeorisderivesthemajorityofitsSAP
implementationbusinessfromcompaniesandbusinessunitswithmorethan2,500employees.Neoris
focusesinvestmentsinmanyindustries(manufacturing,naturalresources,consumergoods,
agribusiness,healthcare,highereducation,financialservices,telecommunications,retailandutilities),but
itscorestrengthsareinmanufacturing.
Neorisisaverystrongcandidateforselectedsolutions,suchasManufacturingIntegrationand
Intelligence(MII)andanalytics,forimplementationsinLatinAmericaandfornearshoresupport.Clients
aregenerallyhighlysatisfiedwithNeoris.ItispositionedintheNichePlayersquadrantchieflybecauseof
itssmallerscaleandincompletecoverageforlargergeographicallydispersedSAPprojects.
Strengths
LatinAmericanandnearshorecapabilitiesNeorisisparticularlystronginLatinAmerican
rollouts,andclientfeedbackconfirmsthatNeorisconsultantsdisplaytheskillsandknowledgeof
localbusinessandstatutoryrequirementsthatclientsseek.InadditiontoLatinAmericanrollouts,
NeorisisalsoastrongcandidatefornearshoresupportofclientsinNorthAmericaduetoasimilar
timezone,culturalfit,operationalreliabilityandclientsinSpanishandPortuguesespeakingEurope
duetoitslanguagecapabilities.
TargetedinvestmentsininnovationNeorisisinvestingininnovationinareaswhereithasa
trackrecord:MIImanufacturingsolutionsandmachineautomationthroughMII3Ddigitalfactory

(connectingshopfloortobusinessoperationsusingSAPVirtualEnterpriseandMicrosoftKinect)
Hanaandhighperformanceanalyticshybris,omnichannelandretailvideowallvisualizationof
supplychainandotheroperations(leveragingMIIinthebackend)asolutionutilizingGoogleGlass
forshopfloorandwarehousemanagementandmobilesolutions(suchasSAPMIIonmobile
devicestoallowemployeestoaccessshopfloordatabasesandcreatetheirownpersonalizedcontrol
panel).
ApplicationandtechnicalexpertiseClientsreporthighsatisfactionwithNeoris,commenting
thatitsconsultantsgenerallypossesshighlevelsofbusinessandtechnicalcapabilitiesand
knowledgeofSAP.TheyalsociteNeoris'goodservicequalityandunderstandingofclients'
requirements,aswellasgoodvalueformoney(althoughnotthelowestprice)asstrengths.
Cautions
LimitedpresenceoutsideLatinAmericaNeorisisglobalizingitsSAPpracticethroughits
supportofitsglobalclients,especiallyCemex.However,presenceoutsideLatinAmerica,Spainand
Portugalisstillsmall.WhileNeorishasmadeexpansionintheU.S.akeygrowthstrategy,its
currentpenetrationintheU.S.isstilllow.
PartialcapabilitiesandexperienceinsomesolutionsNeoris'smallerscaleandfocuson
selectsolutionsmeansthatithaslimitedresourcesandexperienceinothersolutions,suchas
AdvancedPlanningandOptimization(APO),TransportationManagement(TM),ExtendedWarehouse
Management(EWM)andhumancapitalmanagement(HCM).Neoriscontinuestorelyonthe
supportofitsestablishedpartnernetworkfortheimplementationofthesesolutionsoutsideofLatin
America.
SomeresourcingchallengesClientshavereporteddifficultyinstaffingscalabilityinquick
turnaroundsituationsorsomegeographicallocationsoutoftheirimmediatereachandhencethe
needforNeoristoworkwithitsestablishednetworkofsubcontractors.

NTTData
NTTData'sSAPpracticewasinitiallyformedthroughtheacquisitionofanumberofanchorcompanies:
Keane,itelligenceandIntelligroup.AcquiredcompaniesinNorthAmericaareorganizedandintegrated
undertheNTTDatabrand.Itelligencecontinuestouseitsownbrand,butitisnowundertheumbrellaof
NTTDataBusinessSolutions.Theacquisitionspreecontinuedin2013,addingOptimal(U.S.basedSAP
specialist),Everis(SpanishITfirmwithLatinAmericanreach),ebs(Romaniabasednearshoreapplication
managementservicesprovider),AsterGroup(U.S.basedSAPBPCspecialist),4CManagementConsulting
(Danishanalyticsandperformancemanagementcompany)andSoftwareAG/IDSScheerinCentraland
EasternEurope(SAPregionalpartnerNTTDatahadearlieracquireditsCanadiancounterpart).
NTTData'sSAPGlobalOneinitiativeintegratesthevariousskills,resourcesandbestpracticesunderthe
NTTDatabrand,bringingtogethernearly8,000SAPconsultantsin40countries.Anestimated40%ofits
SAPprofessionalsarelocatedinglobaldeliverycenters.About54%ofitsSAPbusinessisderivedfrom
implementation,andtherestfrominfrastructureservices,hosting,applicationmanagementandlicense
sales.
In2013,NTTDataderiveditsSAPimplementationbusinessfromallthe22industriesdefinedinthis
MagicQuadrant,withthemainonesbeingmanufacturing,consumergoods,hightech,automotive,
services,andlifesciences.NTTDatafocusesitsinvestmentsinthefollowingindustries:discrete
manufacturing,chemicals,hightech,pharmaceuticals,medicaldevices,distribution,consumergoods,
automotiveandhighereducation.NTTDataderivesitsSAPimplementationbusinessfromcompaniesof
allsizesfromsmallenterprisestolargecorporations.
Strengths
BroadgeographicalreachwithlocalpresenceThroughnumerousacquisitions,NTTData
nowhassignificantlyincreaseditsreachandscaleinNorthandLatinAmericaandSouthernand
EasternEurope,withnearshorecapabilitiesforEuropeandLatinAmerica,inadditiontoitsIndian
offshorecenters.TheresultisthatitsSAPrevenueissplitfairlyevenlyacrossNorthAmerica,EMEA
andAsia/Pacific.NTTDataclientscitegoodperformanceoverallwithkeystrengthsinSAPknowledge
andtheabilitytoeffectivelydeliverasuccessfulproject
InvestmentsandexperienceinnewerproductsanddeliverymodelsNTTDataisquickly
amassingexperienceinSAP'snewerproducts.Ithasgarneredover50engagementsandproofsof
conceptinHana/SuiteonHanaandover50engagementsinBusinessByDesignin2013,makingit
oneofthemostexperiencedprovidersinthesetwoproducts.Italsohasover20clientsin
SuccessFactorsandisinvestinginhybris,mobile,MCaaSandHanaEnterpriseCloud.
SmallandmidmarketsegmentNTTDataisastrongproviderforsmallandmidmarket
enterprises,becauseithasinvestedsignificantlyinprescriptivetemplates,includingover70RDS
and20industrysolutions,toreducecosts,aswellasincreasespeedandpredictabilityof
implementationinsuchorganizations.Thesmallandmidmarketsegmentisalsoasweetspotfor
severaloftheacquiredcompanies,andhencetheyhaveastrongtrackrecordwithgreenfieldSAP
implementationsforsuchenterprises.
Cautions
LimitedlargedealtrackrecordNTTDatahasnumerouslargeenterpriseclientshowever,
mostengagementsarerelativelysmallcomparedwithothervendors.Thisreflectsitsfocusbut
couldsignallessabilitytosupportlargecomplexdeals.
FocusneedsfinetuningWith8,000consultants,NTTDatarunstheriskofspreadingitselftoo
thinlybyexpandinginallgeographiesandnearlyallsectors,andservingcompaniesofallsizes.A
sharpenedfocusisneededtobuildmoredepth,differentiationandclarityarounditssweetspots.
IntegrationisstillinprogressDuetoNTTData'songoingacquisitionstrategy,itsstrengths,
weaknessesandtargetmarketsstillvarybygeography.Capabilitiesofconsultantsstilltendtoalign
witheachofthelegacycompanies'traditionalstrengths,andsomeclientshavereportedchallenges
inworkingbetweencountries.NTTData'sOneMethodinitiativehasbeenlaunchedforglobal
consistency,butsomeNTTDataconsultantsarenotfamiliarwithordonotpracticetheproject
methodologiesused.

PwC
PwCisaglobalnetworkofmemberfirmsthatprovideassurance,taxandadvisoryservices.PwChas
morethan6,200SAPskilledprofessionals.Lessthan20%ofitsSAPprofessionalsarelocatedinglobal

deliverycenters.VirtuallyallofPwC'sSAPbusinessisderivedfromimplementation.In2013,PwCderived
itsSAPimplementationbusinessfrom21ofthe22industriesdefinedinthisMagicQuadrant,withthe
mainonesbeingconsumergoods,retail,utilitiesandenergy,manufacturing:hightech,manufacturing:
lifesciences,manufacturing:industrialdiscrete,andmanufacturing:oilandgas/chemicals,andprocess
andresource.
PwCderivesthemajorityofitsSAPimplementationbusinessfromcompanieswithmorethan1,000
employees.
Strengths
BusinesstransformationapproachPwCtakesabusinesstransformationapproachtoitsSAP
engagementsandisabletobringtogetherstrategy,industry,process,taxandsoftwareexpertiseto
bearonaprogram.Itemphasizesputtingprocessimprovementandbestpracticesbeforesystem
leveldecisions,whichmakesitaclearfitforadvisoryandconsultingrelatedtoSAPenabled
transformation,andimplementationprojectsinvolvingsignificantchangemanagementorprocess
transformation.
RelationshipswithbusinessexecutivesPwC'sbrandandrelationshipswithClevel
executivesandfinanceprofessionalspositionitwellinSAPprojectsthatinvolvesponsorship,buyin
andengagementoftheseprofessionals.ClientspointtoPwC'sdedicationtoresultsandtheclient's
successaskeystrengths.PwCisoftenthepreferredproviderforSAPimplementationfollowingits
businessconsultingworkforthesameclient,anditisabletouseitspriorexperienceofclient
organizationtoovercometechnicalandorganizationalchallenges.PwC'sexpertiseinfinance,risk
managementandoperationsenablesitsconsultantstotranslatetechnicaltopicsintobusiness
language,providingtheabilitytobuildstrongrelationshipswiththebusinessandIT.
BroadeningcapabilitiesPwC'sstrongestsegmentscontinuetobefinancialtransformation,
performancemanagement,enterpriseassetmanagement,supplychainmanagementandGRC.
PwCisincreasinginvestmentsinitsimplementationcapabilitiesinmanynewerareasoftheSAP
portfolio,includingSuccessFactors,Ariba,FioriandSalesandOperationsPlanning(S&OP)onHana.
Cautions
ToolsandprebuiltsolutionsPwCapproachestheclient'sbusinessproblemsasuniqueand,in
somecases,investsinandleveragesfewerautomatedtools,repositories,andprebuiltHana
applicationsorindustrysolutions.PwCtrailscompetitorsinnewbusinessmodels,suchasMCaaS.
InconsistentresourcequalityWhilePwCcontinuestoshinewithhighqualityresourcesinits
moretraditionalconsultingspaces,suchasprojectmanagementanddesign,afewclientshave
noticedsomevariationinqualityofitstechnicalandapplicationspecificresources,andinsome
cases,difficultyinfindingqualifiedstaff.
PriceWhilePwChasimproveditspricing,clientscontinuetopointtoitshigherpriceasanarea
forimprovement.AcommoncommentisthatPwCdoesagoodjobbutitcomesatapremiumprice.
AfewclientsalsosuggestPwCcanimproveonchallengingusersonbusinessrequirementstosteer
themtowardusingthestandardSAPapplications.

SAPServices
SAPServices,theservicearmofSAP,deliversSAPimplementationservicesgloballythroughabout
16,000deliveryconsultants,aswellasmorethan1,200customdevelopmentconsultantsand
collaborationwithmorethan8,000activesupportprofessionals.SAPServicesprovidesprimeintegrator
servicesthatcompetedirectlywithitsSIpartnerecosystem,butitisaligningmorecloselywithSAP's
overallstrategybyfocusingonsupportingadoptionofSAPinnovations,especiallyHana,bigdataand
cloud.Anestimated15%ofitsdeliveryprofessionalsarelocatedinglobaldeliverycenters.In2013,SAP
ServicesderiveditsSAPimplementationbusinessfromallindustries,butitsstrategicindustriesare
financialservices,retail,healthcare,publicsectorandtelecommunications.SAPServicesderivesthe
majorityofitsimplementationbusinessfromcompanieswithmorethan2,500employees.
Strengths
ProductexpertiseClientsaregenerallyimpressedbySAPServices'indepthknowledgeacross
themajorproducts,includingtheacquiredSuccessFactorsandAriba.SAPServicesisalsoinvolved
withmoreclientsinnewerproducts,makingitagoodfitforsuchproductsbothforitsexperience
andfortheabilitytohave"onethroattochoke."ClientscanalsotapintoSAPServices'deep
productexpertisethroughspecificserviceofferings,suchasitsInnovationControlCenterto
minimizecustomizationduringimplementation,itsValuePartnershipprogramforconsulting
services,anditsLearningHubforstateofthearttraining.
AcomprehensiveportfolioofservicesalignedtocustomerneedsSAPServiceshas
developedafullspectrumofservicesthatallowsclientstobuytheservicesmostrelevanttotheir
needs:transformationservicesforhighvalueconsulting,technologyservicesforadoptingnew
products,customdevelopmentservicesforuniquefunctionalities,deploymentservicesfor
industrializedsolutions,premiumengagementservicesformanagementandsupport,andlearning
servicesforworkforcetraining.
Increasingdeliveryspeedandminimizingthetotalcostofownership(TCO)SAP
ServiceshasbeenfocusingonwaystoincreasedeliveryspeedandminimizeTCO.Initiativeshave
includedanextensivesetoffixedfee/fixedscopeRDS,"assembletoorder"and"industrialized"
deliverymodelsthatemphasizereuseandrepeatability,anda"worldtemplate"thatfacilitatesrapid
rolloutstomultiplecountries.
Cautions
LessexperienceworkingwithmultipletechnologyvendorsTheflipsideofbeing
specializedandhighlyskilledinonefamilyofproductsislimitedcapabilitiesinothersoftwarevendor
technologies.SAPServiceshaslimitedcapabilitiestoassistinhighlyheterogeneousprojects
involvingmultiplesoftwarevendorsinwhichSAPsolutionsareonlyoneofanumberofonpremises
andcloudapplicationsandtechnologies.
HighhourlyratesSAPServices'hourlyrateishigherthanitsservicepartners'.SAPServices
claimsthatefficientdeliveryandfasterresultsforcustomersresultinloweroveralltotalcostof
implementationandlowerTCO.SAPServiceshascommittedtoan"outcomebased"approachthat
guaranteesagreeduponoutcomes.Clientsareadvisedtocomparelikeforlikebycontractingona
fixedpricebasis,anapproachalsofavoredbySAPServices.

CapabilitygapsSAPServicesisnotasbroadordeepassomeofitspartnersinbusiness
consultingcapabilities,suchasindustryknowledge,processchange,largescaleprogram/project
managementandchangemanagement.Fornicheproducts,likeservicepartsplanning,SAP
Servicesreliesonitsecosystemforscale,expertiseandcostreasons.Itisalsorapidlyrampingupits
resourcestomeetdemand,resultinginchallengesstaffingthehighlyqualifiedconsultantsthat
clientsexpectfromSAPServices.

TataConsultancyServices
TataConsultancyServices(TCS),thelargestIndianITservicesfirm,hasmorethan13,500SAPskilled
professionals.Anestimated67%ofitsSAPprofessionalsarelocatedinglobaldeliverycenters.About52%
ofitsSAPbusinessisderivedfromimplementation,andtherestisderivedfrominfrastructureservices,
applicationmanagementandhosting.In2013,TCSderiveditsSAPimplementationbusinessfrom18out
ofthe22industriesdefinedinthisMagicQuadrant,withthemainonesbeingindustrial,hightech,
utilitiesandenergy,lifesciences,consumergoodsandretail.TCSderivesthemajorityofitsSAP
implementationbusinessfromcompanieswithmorethan2,500employees.
TCSfocusesitsinvestmentsinthefollowingindustries:manufacturing,retail,consumergoods,hightech,
financialservices,media/informationservices,travel/transportationandhospitality.
Strengths
StronggrowthTCShasoneofthehighestgrowthratesintheSAPimplementationmarketin
2013:over30%(versusamidteengrowthrateforTCSasawhole).Asaconsequence,TCS'sSAP
practiceenjoyspriorityfundingforinvestments,includingacquisitionsinnewgeographiesandfor
additionalcapabilities.
InvestmentsinnewertechnologiesTCSisinvestingheavilyinnewerSAPproductsand
technologies,includingtrainingover50hybrisprofessionalsandover500Hanaconsultants,setting
upacustomerexperiencelabforhybrisandauserexperiencecenterofexcellencewithafocuson
Fioriandpersonas,andbuildingindustryspecificHanaappsandaccelerators,suchaspricing
analyticsandassortmentplanningfortheretailindustryandsmartmeteranalyticsforutilities.TCS
haspartneredwithSAPforsevenRDSpackages,includingintheareasofmobilityandHana.
CommitmenttosuccessfuldeliveryTCShasknowledgeable,welltrainedanddiligent
resourcesthatdemonstratestrongcommitmenttosuccessfuldeliveryandmeetingchallenging
timelinesatanattractiveprice.ClientsalsoindicatethatTCSisaccommodatingandflexiblein
meetingtheirchangingprogramdemands.
Cautions
BusinesstransformationcapabilitiesTCSisastrongcontenderinprovidingSAPtechnical
andfunctionalresourcesinsupportofclientledbusinesstransformationprograms,butbusiness
consultingandadvisorycapabilitieslag.Itistakingsignificantstepstostrengthenitsconsultingand
advisoryservicesbyformingatransformationteam,whichfocusesonprovidingbusinessconsulting,
businessprocessreengineering,facilitation,changemanagement,communications,business
stakeholderengagement,andprogramleadershipskills.
OnshoreresourcechallengesAsTCSisheavilyorientedtowardanoffshoredeliverymodel,
clientshavenoticedchallengesinfindingappropriatelyskilledresourcesonshoreinmultiplelocations
globally.DelayingettingworkvisasforIndianconsultantstocomeonshorealsocontributesto
staffingchallenges,whichcanleadtoaslowrampupofaprojectand/orresourcerotationfromone
clienttoanother.TCS'sacquisitionofAlti,aFrenchcompany,willhelptoaddresssomeofthese
challengesinFranceandpartsofEurope,butavailabilityoflocalresources,particularlyinNorth
AmericaandEurope,fallsshortofclientrequirements.TCSisaddressingthisissuebyrampingup
localrecruitmentinthesegeographies.
StructuredknowledgesharingprocessesTCScanimproveonitsknowledgesharingatthe
companywidelevel.Clientsreportthattheyseemtogetonlytheexpertiseoftheteamontheir
projectwhentheythinktheyarebuyingtheinstitutionalknowledgebaseofTCS.Clientsstatethat
theywouldliketoseemoresupportfromTCS'swidercommunity,includingitstopmanagement,
andmorestructuredknowledgesharingpractices.TCSisaddressingthisissuethroughitsinternal
knowledgemanagementportal,whereallsolutions,bestpractices,assetsandtemplatesfromthe
projectsarecapturedandavailabletoallassociatesforuse.Also,TCShasformeditsinternalonline
discussionplatformforsharingissuesandgettinghelpfromtheinternalassociatesonsolutionsand
ideas.

Wipro
Wiprohasnearly10,300SAPskilledprofessionals.Anestimated66%ofitsSAPprofessionalsarelocated
inglobaldeliverycenters.About50%ofitsSAPbusinessisderivedfromimplementation,andtherestis
derivedfrominfrastructureservices,hostingandapplicationmanagement.In2013,WiproderiveditsSAP
implementationbusinessfrom20outofthe22industriesdefinedinthisMagicQuadrant,withthemain
onesbeingindustrial,consumergoods,oilandgas/chemicals,andutilitiesandenergy.Wiproderivesthe
majorityofitsSAPimplementationbusinessfromcompanieswithmorethan2,500employees.
WiprofocusesitsSAPinvestmentsinthefollowingindustries:retail/consumergoods,utilities,discrete
andprocessmanufacturing,energyandnaturalresources,healthcare/pharmaceuticals,andengineering
andconstruction.
Strengths
StrongSAPcapabilitiesatacompetitivepriceLeveragingtools,areuseledfactorymodel
andoffshore/landedlabor,Wiproisabletoprovidesolidexpertiseatanexcellentprice.Itisalso
investinginpreconfiguredtemplates,morethan700processmapsthatincludekeyperformance
indicators,andRDStoreducethetotalcostofimplementation.ClientsgenerallyfindthatWiprois
abletomeetorexceedtheirtechnicalneeds,anditsprojectteamsingeneralpossessstrong
technicalandSAPapplicationcapabilities.
CommitmentandflexibilityClientsreportthatWiproconsultantsshowgreatcommitmentand
flexibilitytodelivertheproject,despiteallodds.Theydisplayastrongpartnershipapproachtohelp
clientsreachtheirgoals,includingcreativeandpredictablepricing.
InvestmentsinnewertechnologiesWiprocontinuestobealeadingpartnerfornewerSAP
productsandtechnologies.Ithasanaboveaveragetrackrecordinconsultingandimplementing
projectsandproofsofconceptinHana(includingSuiteonHana),hybris,SAPmobiletechnologies

andAriba.Ithasinvestedinmanagedcloudasaserviceandnowofferssubscriptionbasedindustry
solutionsontheHanaplatformforthemining,chemicalsandwaterindustries.Inaddition,Wiprois
SAP'spartnerfortheRiverDefinitionLanguage(RDL)development,anewlanguageforbuilding
nativeHanaapplications.
Cautions
BusinessknowledgeWhileresourcesfromWiproConsultingServicesareknowledgeableabout
businessprocessesandhowtheyareexpressedinSAP,clientsnoticethatWipro'soffshoredelivery
resourcesneedtoscaleupintheirbusinessprocessunderstandingandindustryandfunctional
depth.
ProactiveguidanceClientscontinuetonoticethatWiprotendstobeshyaboutofferingadvice
andinsteadismorecomfortableexecutingdecisionsandsolvingtechnicalproblems.Givenitsvast
experienceinconsultingandimplementingSAP,clientswouldliketoseeWiprobemoreproactivein
proposingalternativestobusinessdesignrequirementsandapproaches,andchallengingclients'
decisions
ProjectplanningandcommunicationsClientsnotethatWiprocanimproveonproject
planningandcommunications.AfewcommentedthattheywouldliketoseeWiproconductamore
thoroughanddetailedscopingoftheprojecteffortanddeliverablesattheoutsetofaproject,and
communicateinamoretimelyfashion,especiallywhenthingsdonotgosmoothly.

VendorsAddedandDropped
WereviewandadjustourinclusioncriteriaforMagicQuadrantsandMarketScopesasmarketschange.As
aresultoftheseadjustments,themixofvendorsinanyMagicQuadrantorMarketScopemaychange
overtime.Avendor'sappearanceinaMagicQuadrantorMarketScopeoneyearandnotthenextdoes
notnecessarilyindicatethatwehavechangedouropinionofthatvendor.Itmaybeareflectionofa
changeinthemarketand,therefore,changedevaluationcriteria,orofachangeoffocusbythatvendor.

Added
EYhasbeenaddedbecauseitmeetstheinclusioncriteria.

Dropped
CGIandFujitsuweredroppedbecausetheydonotmeettheinclusioncriteriaforrevenue.

InclusionandExclusionCriteria
ThecriteriaforinclusionofserviceprovidersfortheMagicQuadrantarebasedonacombinationof
quantitativeandqualitativemeasures.

QuantitativeCriteria
Providersmusthaveaminimumof$250millioninrevenue(estimatedforfiscalyear2013)in
worldwideSAPimplementationservices.
SAPimplementationservicerevenuemustbederivedfromclientsinatleastthreeofthefour
regions:NorthAmerica,EMEA,LatinAmericaandAsia/Pacific(includingJapan).
Nomorethan80%oftherevenueshouldbederivedfromthelargestregion.Aminimumof$50
millioninrevenue(estimatedforfiscalyear2013)mustbederivedfromthesecondlargestregion.

QualitativeCriteria
ClientinterestinspecificSAPserviceproviders,asrevealedbyGartneranalysts'interactionswith
enterprisebuyersand/orGartneranalysts'opinionontheattractivenessofspecificprovidersto
Gartnerenterpriseclients
Overallmarketinterestinandvisibilityoftheprovider,determinedbyseriousconsiderationfor
selectionfromenterpriseclients
AbilitytoprovideconsultingandsolutionimplementationservicesacrossmultipleSAPmodulesand
withmultiplecompetencies

EvaluationCriteria
AbilitytoExecute
GartnerevaluatesserviceprovidersontheirAbilitytoExecuteandtheirCompletenessofVisionasper
thedefinitionsbelow.Whenthetwosetsofcriteriaareevaluatedtogether,theresultinganalysisprovides
aviewofhowwelltheproviderperformsaspectrumofservicescomparedwithitspeersandhowwellitis
positionedforthefuture.
FormoreinformationonGartner'sMagicQuadrantresearchmethodology,refertoourResearch
MethodologiesontheGartnerwebsiteand/orreview"HowGartnerEvaluatesVendorsandMarketsin
MagicQuadrantsandMarketScopes."
Gartneranalystsevaluatetechnologyprovidersonthequalityandefficacyoftheprocesses,systems,
methodsorproceduresthatenableITproviderperformancetobecompetitive,efficientandeffective,and
topositivelyimpactrevenue,retentionandreputation.Ultimately,technologyprovidersarejudgedon
theirabilityandsuccessincapitalizingontheirvision.
ProductorService:Thiscriterionassessescoreservicesthatareofferedbytheproviderandthat
competein/servethedefinedmarket.Thisincludescurrentservicecapabilities,quality,skills,andsoon.
Subcategoriesinclude:
BreadthanddepthofcapabilitiesinthefullportfolioofSAPapplications
Capabilitiesinbusiness/processconsultingandindustryknowledge
Capabilitiesinotherkeydeliverysuccessfactors:projectmanagement,changemanagement,
communication,andsoon
Demonstratedtrackrecordinsuccessfullyexecutinglargecomplexglobalengagements

OverallViability:Viabilityincludesanassessmentoftheoverallorganization'sfinancialhealthandthe
financialandpracticalsuccessofthebusinessunit,andthelikelihoodoftheindividualbusinessunitto
continuetoinvestintheserviceandcontinuetooffertheservice,advancingthestateoftheartwithin
theorganization'sportfolioofservices.SpecificassessmentincludesthesizeandgrowthoftheSAP
implementationbusiness.
SalesExecution/Pricing:Thiscriterionassessestheserviceprovider'scapabilitiesinallpresales
activitiesandthestructurethatsupportsthem.Theseincludedealmanagement,pricingandnegotiation,
presalessupport,andtheoveralleffectivenessofthesaleschannel.Subcategoriesinclude:
Pricingstrategyandalternativepricingmodels
Customerfeedbackonvalueformoney
MarketResponsiveness/TrackRecord:Thiscriterionassessesthevendor'sabilitytorespond,change
direction,beflexibleandachievecompetitivesuccessasopportunitiesdevelop,competitorsact,customer
needsevolve,andmarketdynamicschange.Thiscriterionalsoconsiderstheprovider'shistoryof
responsivenessandabilitytoquicklybuildcapabilitiestosuccessfullyimplementnewSAPproducts(cloud,
mobilityandHana)andinnewmarkets(emergingcountriesandnewindustries)
CustomerExperience:Thiscriterionassessestherelationships,productsandservices/programsthat
enableclientstobesuccessfulwiththeirSAPprograms.Thiscriterionalsoconsidersclientfeedbackon
overallexperienceworkingwiththeSAPapplicationserviceprovider.
Operations:Thiscriterionassessestheabilityoftheorganizationtomeetitsgoalsandcommitments.
Factorsincludethequalityoftheorganizationalstructure,abilitytomanageutilizationandattrition,tools,
methodologies,knowledgemanagementsystems,trainingprograms,globalpresence,globaldelivery
centers,centersofexcellence,andothervehiclesthatenabletheorganizationtooperateeffectivelyand
efficientlyonanongoingbasis.

Table1.AbilitytoExecuteEvaluationCriteria
Criteria

Weight

ProductorService

High

OverallViability

Medium

SalesExecution/Pricing

Medium

MarketResponsiveness/TrackRecord

Medium

MarketingExecution

NoRating

CustomerExperience

High

Operations

Medium

Source:Gartner(July2014)

CompletenessofVision
Gartneranalystsevaluatetechnologyprovidersontheirabilitytoconvincinglyarticulatelogical
statementsaboutcurrentandfuturemarketdirection,innovation,customerneeds,andcompetitive
forcesandhowwelltheymaptotheGartnerposition.Ultimately,technologyprovidersareratedontheir
understandingofhowmarketforcescanbeexploitedtocreateopportunityfortheprovider.
MarketUnderstanding:Thiscriterionassessestheabilityoftheprovidertounderstandbuyers'needs
andtranslatetheseneedsintoproductsandservices.Vendorsthatshowthehighestdegreeofvision
listenandunderstandbuyers'wantsandneeds,andtheycanshapeorenhancethosewantswiththeir
addedvision.Subcategoriesincludetheserviceprovider'sknowledgeandarticulationofkeymarket
directionandtrends,andtheserviceprovider'sreputationasathoughtleader.
MarketingStrategy:Thiscriterionassessesaclear,differentiatedsetofmessagesthatareconsistently
communicatedthroughouttheorganizationandareexternalizedviacommunications,advertising,
customerprogramsandpositioningstatements.
SalesStrategy:Thiscriterionassessesthestrategyforsellingservices,whichusestheappropriate
networkofdirectandindirectsales,marketing,service,andcommunicationsaffiliatesthatextendthe
scopeanddepthofmarketreach,skills,expertise,technologies,servicesandcustomerbase.
Subcategoriesinclude:
Serviceprovider'sstrategiesforpartnershipsandalliances
Accountmanagementandvisionforcreatingnewand/oradditionalSAPservicebusiness
Offering(Product)Strategy:Thiscriterionassessesaserviceprovider'sapproachtoSAP
implementationservicedevelopmentanddeliverythatemphasizesdepthandbreadthofcapabilities,
differentiation,andmethodologiesastheymaptocurrentandfuturerequirements,suchas
enhancements/extensionstoSAPproducts,innovativeusecasesforHanaandmobility,benefit
realization,andcontinualinvestmentsintomakingdeliveryspeedier,lesscostlyandwithreducedrisks.
Vertical/IndustryStrategy:Thiscriterionassessesthetechnologyprovider'sstrategytodirect
resources,skillsandofferingstomeetthespecificneedsofindividualmarketsegments,including
verticals.Thisincludesvertical,industryandprocessinvestments,asrevealedbydedicatedresources,
trainingandrelatedtemplates/preconfiguredsolutions/processmapsandotherintellectualproperty
developmentinselectedverticals,industriesandprocesses.
Innovation:Thiscriterionassessesthedirect,related,complementaryandsynergisticlayoutsof
resources,expertiseorcapitalforinvestment,consolidation,defensiveorpreemptivepurposes.Italso
includesreputationasaninnovatorandcoinnovationactivitieswithSAP.

GeographicStrategy:Thiscriterionassessestheprovider'sstrategytodirectresources,skillsand
offeringstomeetthespecificneedsofgeographiesoutsidethe"home"ornativegeography,including
globaldeliverylocations,eitherdirectlyorthroughpartners,channelsandsubsidiaries,asappropriatefor
thatgeographyandmarket.

Table2.CompletenessofVision
EvaluationCriteria
EvaluationCriteria

Weighting

MarketUnderstanding

High

MarketingStrategy

Medium

SalesStrategy

Medium

Offering(Product)Strategy

Medium

BusinessModel

NoRating

Vertical/IndustryStrategy

Medium

Innovation

Medium

GeographicStrategy

Medium

Source:Gartner(July2014)

QuadrantDescriptions
Leaders
Leadersareperformingwelltoday,gainingtractionandmindshareinthemarkettheyhaveaclear
visionofmarketdirectionandareactivelybuildingcompetenciestosustaintheirleadershippositioninthe
market.Theplayersinthisquadrantgenerallyhaveaglobalclientbase,atrackrecordofimplementing
complexSAPprogramsgloballythatsupportbusinesstransformation,andwellbalancedbusiness,process
andindustryconsultingandimplementationcapabilitiesthataresupportedbyrigoroustoolsand
methodologies.

Challengers
Challengersexecutewelltodayfortheportfolioofworkselected,buttheyhavealessdefinedviewof
marketdirection.Consequently,theseserviceprovidersarethe"upandcomers"ofthefuture.Vendors
inthisquadrantgenerallyhavesomegapsinconsultingorothercapabilities,sales,marketing,
innovation,geographicpresenceorofferingstrategy.

Visionaries
Visionariesarticulateimportantmarkettrendsanddirection.Theyhaveavisionforchangingmarket
rules,buttheyarenotinapositiontofullydeliverandconsistentlyexecute.

NichePlayers
NichePlayersfocusonafewsegmentsofthemarket,suchascertaingeographies,verticalindustries,
clientsegmentsorfunctionalareas.Theirabilitytoexecuteislimitedtothesefocusareasand,therefore,
isassessedaccordingly.Theirabilitytoinnovateisalsoaffectedbythisnarrowfocus.Manyofthe
providersinthissegmentwereratedhighlyforcustomersatisfaction,andmanycanbeconsideredtobe
leadingplayerswithintheirnichemarketfocus.NichePlayersneedtoincreasetheirgeographicsalesand
delivery,aswellasincreaseoverallbreadthanddepthofcapabilities,innovationandbenchstrength.

Context
Alargeserviceecosystemofover7,400servicesandchannelpartnerssupportsSAP'scustomersand
helpsitsellintoorganizations.Needlesstosay,the17serviceprovidersincludedinthisMagicQuadrant
makeupasmallfractionofthethousandsofserviceprovidersthatimplementSAP.Manycapable
providersarenotincludedinthisstudyduetoourinclusioncriteriaandmethodology.Theseinclude(but
arenotlimitedto)ABeamConsulting,BluefinSolutions,Bristlecone,CGI,Ciber,ClarkstonConsulting,Dell
Services,EpiUse,Fujitsu,HitachiConsulting,Igate,KPMG,Keneos,Keytree,L&TInfotech,Tech
Mahindra,NGAHumanResources,SitaCorp,Softtek,KPIT,TEKsystemsandYashTechnologies.Market
Guides,CoolVendorsandHypeCyclereportsfeaturesmallerand/ornicheSAPserviceprovidersthatmay
beabetterfitforspecificSAPimplementationprojects,dependingontheSAPmodule,resourcing
objectives,sizeofprojectandotherfactors.
ThisMagicQuadrantanalyzesthelargestprovidersofSAPimplementationservices.Therelative
positioningofvendorsinthisMagicQuadrantisbasedonGartner'sstandardMagicQuadrant
methodology.Weanalyzeconsultingandsystemintegrationprojectsthattypicallyrequireablendof
process,industry,SAPapplicationandtechnology,andprogramandprojectmanagementskills.
Whenconsideringimplementationpartnersforarequestforinformationorrequestforproposal,clients
areadvisednottosimplyselectserviceprovidersintheLeadersquadrant.Allselectionrequirementsare
enterprisespecificconsequently,vendorsintheChallengers,VisionariesorNichePlayersquadrantsmay
provetobemoreappropriatefortheirengagement.Forexample,eachproviderwillhaveadifferentdeal
sweetspot,reflectingthescaleofdealsinwhichitperformswell,itscultureandindustrycoverage,as
wellasthematurityofserviceprovisionthatitsclientsvalue(see"Deal'SweetSpot'AnalysisAccelerates
ServiceProviderEvaluationandSelection").Additionally,becausetheinclusioncriteriaintheMagic
QuadrantresultintheanalysisofthemostestablishedprovidersintheSAPimplementationmarket,
clientsshouldnotdisqualifyanypotentialcompetitors.OtherITservicesprovidersnotevaluatedinthis
MagicQuadrantmaypresentbetteralternativesforyourbusinessrequirements.AGartneranalystcan
helpwithashortlistofthemostsuitablecandidatesbasedonclientrequirements.
ThisMagicQuadrantevaluatesonlytheconsultingandsystemintegrationcapabilitiesrequiredfor
discreteprojectworkandexcludesmultiyearcontractualengagementstypicalofoutsourcingagreements.
Forthisdocument,weobtained177referencestothe17leadingSAPserviceproviderstosupplement

ourviewsbasedondailyinteractionwithGartnerclientsandvendors.

MarketOverview
WhilegreatstrideshavebeenmadeinSAPimplementation,clientscontinuetostrugglewithageold
challenges:
Howcanenterprisesimplementfasterandlessexpensively,withlessriskandmorepredictability?
Howcanenterprisesensurethattheimplementationbringsaboutthebusinessbenefitspromisedin
thebusinesscase?
Addedtotheseageoldissuesarenewopportunitiesandchallengestohelpclientswiththeirdigital
transformation,enabledbytheeverexpandingSAPfamilyofnewandacquiredproductsandtechnologies
suchasHana,mobility,Ariba,hybris,Fiori,cloudandSaaS.

ServiceProvidersHaveSteppedUpInvestmentstoAddressOpportunitiesand
Challenges
WhiletheSAPservicemarketisalargeone,competitionisintensewithover7,400servicesandchannel
partnersintheecosystem.Serviceprovidersarefuriouslyinvestingtodifferentiatethemselvestowinin
thismarketplace.Serviceproviders'investmentsfordifferentiationthataddressthechallengesand
opportunitiesintheSAPimplementationmarketinclude:
Capabilitiesandofferingsinnewproductsanddisruptivetechnologies:SIsdifferentiateon
capabilitiesinnewerproductsanddisruptivetechnologies,suchasinHana,hybris,SuccessFactors
andmobile.ThesenewproductsaredrivingaflurryofinvestmentactivitiesamongSIseagertoget
infrontofdemand,suchashiringand(re)trainingtalent,investinginnewusecasesandcentersof
excellence,puttingtogetherafullsetofofferingsfromassessmentandroadmapstomigration
factories.
Alternativedeliverymodels:SIsalsoinnovateonnewerdeliveryandconsumptionmodels,such
asfinancialreengineeringofbundledhardware,softwareandservicesintosubscriptionbased
billing,knownasmanagedcloudasaservice(MCaaS).ExamplesincludeCapgemini'sOnePathand
industryspecificMCaaSofferingsbyNTTData(forexample,education),Infosys(forexample,oil
fieldservices),Wipro(forexample,mining,waterandchemicals)andothers.Asaservicemodels
areparticularlyembracedbyserviceprovidersinHanaandmobilitytomakeiteasierandfasterfor
clientstobuyandconsumethesenewerSAPproductswithoutmakingalargecapitalinvestmentor
hiringinhousestaffwiththerightskillsets.Forexample,HPhasanasaservicesolutionforHana,
AccenturehasitssubscriptionbasedMarketingPerformanceSolutionbuiltonHana,EYismaking
investmentsinanalyticsasaservice,andAtosoffersacloudbasedmobilitysolutionbasedonSAP
MobilePlatform.
Benefitrealization:Ontimeandonbudgetdeliverycontinuestobetheyardstickofsuccessfor
manyenterprises,butincreasingly,sophisticatedclientsaredemandingmeasurablereturns.More
serviceprovidersincludingAccenture,Deloitte,HCL,IBMandInfosysarenowsteppingupto
offerbothmethodologyandfeeatriskcontractsthatmorelikelyleadtobenefitrealization.
Businesscapabilities:Leadingserviceprovidersareinvestinginindustry,businessprocessand
localknowledgetodifferentiatefromtheirmoretechnicallyorientedcompetitors.Indiacentric
providers,suchasCognizant,Infosys,TCSandWipro,arehiringconsultantswithspecificindustry
experienceandlocalconsultantsinspecificgeographies,inadditiontoacquisitionsinsomecases,for
suchcapabilities.
Reusableassets:LeadingSIshaveinvestedheavilyinaccelerators,reusableassetsinindustry
specificorhorizontalnichefunctionalities,andpreconfiguredsolutions.SAPhasdevelopedaportfolio
ofRDSthatencompasseshighlytargetedfixedscopesolutionsthatcanbeimplementedquicklyso
clientsreapbenefitsearly.SomeSIsincludingCSC,NTTData,InfosysandWiproarealso
developingRDStooffertotheirclients.LeadingserviceprovidersalsocoinnovatewithSAPor
developapplicationsontopofSAPproductstoroundoutthestandardfunctionalitiesandmakethe
combinedproductsabetterfittoclients'requirementsinaspecificsubverticalorprocess.Examples
includeInfosys'OilFieldServicessolution,HCLiMROandPwC's"GRCinabox."
Toolsandautomation:Toolsandautomationcutcostsofimplementationandoftenindicatea
serviceproviderfocusinthatparticularserviceoffering.ToolssuchasAccenture'sBOSSand
Deloitte'sProcessXRayautomateprocessdiscovery,ofteneliminatinglengthyandoften
erroneousmanualgatheringofinformation,whileAtos'LiveTools,IBM'scloudbasedtraceability
toolforregulatoryreporting,Cognizant'sUpgradePlusandNTTData'sUptimizeraccelerate
implementationandreduceitscosts.WhilecommercialtoolssuchasPanayaexist,tools
broughtbyserviceproviderstoaprojectaretypicallyincludedintheservicefees,andclientsdonot
explicitlypayfortheuseofthesetools.
Localcapabilities:Clientsareincreasinglyexpectingmorelocalsupportandcapabilities.India
centricprovidersarerespondingbyactivelybuildinguptheirlocalconsultingcapabilitiesthrough
bothhiringoflocalsandacquisitions.ExamplesincludeTCS'sacquisitionofParisbasedAlti,Infosys'
acquisitionofLodestoneandCognizant'sacquisitionofGermany'sC1.

SAPImplementationIs,intheFinalAnalysis,aPeopleBusiness
Whiletheadvantagesthatcomewithmethodologies,tools,automationandpreconfiguredsolutionsare
veryreal,SAPimplementationis,inthefinalanalysis,apeoplebusiness.ThisMagicQuadrantevaluates
theproviders'institutionalstrengthsandcautionseveryprojectteamanditsteammembersfromany
onefirmvarybyexpertise,experience,peopleskillsandtemperament.Consistencyinqualityis,by
definition,difficult.LeadingSIshaveamelioratedthisthroughtraining,enforceduseofcommontools,
methodologiesandknowledgemanagementsystems,amongotherthings.ButasthisMagicQuadrant
shows,consistencycontinuestobeachallenge,evenforthemostmatureSIs.Consistencyisespecially
problematicinsmalleroremergingcountrieswherelocalresourcesarespottyandexperiencewithSAP
implementationisnotproven.Clientsareadvisedtoevaluateboththeinstitutionalcapabilitiesandthe
keypeopleproposedfortheengagementwhenselectingimplementationpartners.
LeadingSIshavecontinuedtokeeptheirutilizationofresourcesespeciallyonshoreresourceshigh,
whichhasbroughtaboutchallenges,suchasdifficultyinstaffingprojects,delaysinfindingprofessionals
withtherightskillsets(especiallyfornewerSAPproducts),andprojectattrition.Someleveragethe
contractormarkettosupplementtheirownemployees,whichcanbeabooninthatthesecontractorsare

typicallyhighlyspecializedintheirfields,butthisapproachcanalsobeabigchallengebecausetheyare
notfamiliarwiththeSI'smethodologyandtools,andtheyhavelessvestedinterestinstayingontothe
endoftheproject.ClientsareadvisedtoensuretheirchosenSIhastherightresourcesinplacewithin
thetimeframerequiredandhaveincentivesinplacetoencouragestafftostaytotheendofthe
engagementor,ataminimum,totheendofasignificantmilestone.
Withsomeexceptions,clientsaregenerallypleasedwiththe"hard"(forexample,applicationand
technical)skillsdemonstratedbySIsbutfindmanyoftheSIs'"soft"skillssomewhatlimited.Change
management,communications,industryandbusinessprocessknowledge,businessacumenandproject
managementcontinuetobechallenges.ClientsareadvisedtoevaluatetheSIonthesefactorsandinsist
onstrongcandidateswiththesesoftskillsinstaffingkeyroles.

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