Mr. Schell, what exactly is SAP Leonardo?

Otto Schell: SAP Leonardo combines technologies such as machine learning, the Internet of Things and blockchain, which, in conjunction with end-to-end processes and data, offer digital processes in areas such as finance or the supply chain, or address topics such as the digital twin.
This expands the potential benefits beyond the classic SAP platforms into cloud platforms. This enables intelligent ERP for differentiating processes. This should help companies to implement digitalization - especially when it comes to new business models - as easily as possible.

What exactly do you mean by extending traditional ERP systems into the cloud world?

Otto Schell: Firstly, SAP Leonardo consists of preconceived and adapted applications that are already beyond the use case stage. Secondly, the SAP cloud platform provides the basis for making technologies such as blockchain and machine learning available. Thirdly, the whole thing is rounded off by a range of different services such as innovation coaching and design thinking.
SAP wants to use these to methodically help identify improvements and implement new solutions in pilot projects. Companies that begin to understand the potential of business models connected via blockchain, for example, will enter a new world of business models.

Who is SAP Leonardo interesting for?

For example, for providers who focus on hardware solutions but also offer software. This is because it enables products to be digitally enhanced with services, thereby driving forward the digital transformation. Users can then integrate these services into their application systems. New technologies such as the IoT, blockchain, machine learning, data analytics and API-based services allow existing internal business processes to be extended and integrated beyond process and company boundaries towards the customer and the IoT.

The DSAG Investment Report 2018 made it clear that SAP Leonardo needs to become even better known. What is the reason for the lack of awareness?

Otto Schell: A company doesn't buy technology because it sounds great. It also has to offer a business advantage and be economically attractive. However, SAP did not initially describe the platform clearly and is only now explaining the specific application scenarios. Many companies still lacked ideas and concrete concepts or were too stuck in old ways of thinking about classic release changes. DSAG members must therefore face up to the application discussion and this is where we provide support.

How quickly will SAP Leonardo arrive in companies?

Otto Schell: Ultimately, that also depends on whether companies are prepared to face up to the changes in business processes and the new possibilities. Tackling a blueprint from the perspective of machine learning-supported processes or with partners from the business environment in order to exploit the new potential would be a first step. Even if this means rethinking current projects.

What exactly do you mean by that?

Otto Schell: Users should adopt new ways of thinking about processes, data and values. It's no longer about traditional optimization within your own company, but about the use of networks. Specifically, it's about taking the close integration of product/service and consumer to a previously unimagined level and building a new partnership between man and machine. Only complete networking of all components with each other ensures that processes can be automated.