IT 100 Special Report 2006 >






Germany's SAP dominates the global market for enterprise software, which companies use to manage their supply chains, human resources, customer relationships, and other functions. The company has built its business by providing software suites tailored to industries such as chemicals or financial services, and lately it has been trying to push deeper into small and midsize companies, working with partners who tailor SAP software to niche industries. Though sales increased last year a relatively modest 13%, to $10.9 billion, SAP boasts an impressive 26% return on equity. Sales growth could accelerate as customers move from SAP's older R/3 software to its more recent mySAP and other new products.

Company Info

2005 Rank


($ Millions)


Sales Growth
(over prev. year)

13 %

($ Millions)


Return on Equity

25.9 %

Total Return on Sales (12-mo.)


Share Price
As of 5/31/06




No. of Employees

Industry Software
*Trailing 12 months
Stock price data as of 5/31/06
DATA: Standard & Poor's Compustat

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Company Snapshot

SAP engages in developing and licensing business software solutions. Its solution portfolios support the business processes of approximately 25 industries, including high tech, retail, financial services, health-care, and the public sector. Powered by the SAP NetWeaver platform, SAP business applications enable enterprises of various sizes around the world to manage customer relationships, partner collaboration, and supply chains and business operations. The SAP NetWeaver platform is designed to enable customers to integrate and process business information from disparate SAP or non-SAP sources in various ways. SAP NetWeaver is the platform for the mySAP Business Suite family of business applications consisting of mySAP CRM, mySAP ERP, mySAP PLM, mySAP SCM, and mySAP SRM. mySAP CRM application contains industry-specific capabilities that support marketing, sales, and service departments to manage the customer interaction cycle. mySAP ERP application supports analytics, human capital management, financials, procurement and logistics execution, product development and manufacturing, sales and service, and corporate services. mySAP PLM application enables organizations to manage the lifecycle of a product, such as initial concept design and engineering, production ramp-up and product change management, and service and maintenance. mySAP SCM application enables organizations to manage their supply chain by enabling to synchronize the supply chain, including sourcing, manufacturing, distribution, and fulfillment, as well as to view inventory levels, orders, supplier and customer allocations, forecasts, production plans, and performance indicators. mySAP SRM application automates the procurement process through a self-service requisitioning process. The company also provides consulting and education, ramp-up services, hosting, and support for business process outsourcing and custom development. SAP was founded in 1972 and is headquartered in Walldorf, Germany.

Data provided by Capital IQ
Henning Kagermann

Henning Kagermann

Chairman and Chief Executive Officer

Henning Kagermann has been chief executive officer of Sap Aktiengesellschaft Systems Applications Products In Data since May, 2003. Kagermann has been a member of executive board of SAP since 1991. He joined SAP in 1982. He has served as chairman of SAP since 1991. Kagermann served as co-chairman and CEO of SAP, a subsidiary of SAP Systems Integration, until April, 2003. He has overall responsibility for SAP's strategy and business development as well as for consulting, customer development, industry solutions, and strategic development projects.
Further, he leads the field management board. Kagermann also serves as spokesman of the executive board of SAP. He is responsible for the business segments of sales, consulting, and customer relations worldwide, as well as for the coordination of business plans between regions and industry sectors. He served as vice-chairman of the supervisory board of IDS Scheer. Kagermann serves as a director of SAP America. Kagermann has been a member of the supervisory board of Deutsche Bank since 2000. He serves as a member of the supervisory board of Munich Re Group. He served as a member of supervisory board of SAP Systems Integration. He served as a member of the supervisory board of SAP, Walldorf. He served as a member of the supervisory board of IDS Scheer. Kagermann studied mathematics and physics in Braunschweig and Munich.

Executive Data provided by Capital IQ