Culture and functionality determine an acquisition’s success
SAP president for Southeast Asia Tim Moylan feels integration issues are key to the company’s success. February 16, 2012 | Asian Banker Editorial2011 was an exciting year for SAP. The company reported strong 4th quarter earnings and, in December, announced the acquisition of cloud software company, SuccessFactors. It is easy to see why the industry has suddenly become excited, and competitors more wary, about a company once regarded as “inhospitable” to innovation. In an exclusive interview with The Asian Banker in December last year, SAP’s president forSoutheast Asia, Tim Moylan, shared some of his insights on SAP’s recent success. Asked why people have the impression of SAP as a “slow” and “non-innovative” company, Moylan said that the company carefully and extensively reviews all its options before coming to a decision. “Good decisions take time,” he said, adding that “One cannot come into a decision to purchase a billion dollar company overnight. At SAP, we carefully consider how the acquisition will help us strengthen our existing portfolio and how it will help us convince new clients to do business with us.” SAP has an impressive track record of acquisitions so far and none more so than with its May 2010 purchase of Sybase. The $5.8 billion acquisition has helped the company gain market share in the mobile data warehouse space; data analytics applied to such warehouses underpin businesses’ mobile strategies. As SAP’s largest financial services clients rush to migrate their services onto mobile platforms, this acquisition is helping SAP maintain a leading position relative to its peers. According to Moylan, SAP does not engage in knee-jerk reactionary purchases just to be “in the game” adding “We purchase based on functionality, not perception. Companies that are lined up for acquisition will have to be evaluated on their cross-functionality with existing services and how the integration will have to take place”. But financial sustainability and functionality are not the only integration factors that are taken into considerat... Please login to read the complete article. If you already have an account, you can login now or subscribe/register.
Categories: Data & Analytics, Data Management, Innovation, Technology & OperationsData & Analytics,Data Management,Innovation,technology, Data & Analytics,Data Management,Innovation,Technology & Operations, Keywords:Mergers And Acquisitions, SuccessFactors, Sybase, Big Data, Mobile Platforms, SAP, Tim Moylan Mergers and Acquisitions, SuccessFactors, Sybase, Big Data, Mobile Platforms, SAP, Tim Moylan
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