This is such a massive development. What is going on inside of SAP? I can't believe two executive board members were fired at the same time. Please share the "dirty laundry" if you have it. I really thought things were going great at SAP, then found out about this. It is unprecedented to do this.
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got "fired" with a nice several million envelope as it seems...
Scott Russell is joining a new company as CEO of NICE? Dam, that's a massive upgrade!
The one that found a better job:
https://www.calcalistech.com/ctechnews/article/hjof00ls5c
The one that did not get replaced got fired. The one getting backfilled left for a better job.
MyPOV- Surprising indeed specially when they delivered 10%yoy qtrly rev growth after a long time. So I think it is mostly about cost efficiency. Board isn’t convinced in their cost optimization plan. Board believes that SAP had acquired enough knowledge from Julia and now ready to drive future demand more cost effectively. Julia positioned SAP well to bring net new logos but not enough to meet SAP expectations. So reliance on install base for future cloud revenue growth is still very high. and that links to Scott as cost of sales still not optimal. overall SAP believes in order to maintain the momentum it requires more cost optimization and CK thinks he can deliver with a new sales leader and dismantling M&S. If this doesn’t work SAP will be broken into pieces or acquire companies like what BIll did in the past. So scary time until we see results of this move positively.
they needed couple of scapegoats as result of the employee survey.... this way they can say they listened and reacted... besides these two were not German and value did they really bring anyway?
Only one was fired. The other has a new gig.
Why is this a mystery? 50% of S/4 customer are NNN. Of the remaining 50%, early adopters went greenfield and Hyperscalers. Some regions report 80% of S/4 are on-premise or hyperscaler hosted. Not rise or grow. Only recently are conversions and RISE catching up.
The partners and SAP services - premium and consulting - can't and won’t move the install base.
SAP will blink next year - ECC EOL ‘27 or ‘30 is the decision. Christian de-Klein is the next to go.
I am sure SAP will meet and exceed the 2024 targets! GenAI baby to the freaking moon $$$$.
I am really worried that Scott is out because there is no way he could make the 2024 targets.