Farewell Leo: SAP CEO resigns | AccountingWEB

Farewell Leo: SAP CEO resigns

SAP Leo Apotheker resigned unexpectedly on Sunday with immediate effect.

Apotheker has been with the company for more than 20 years and took over as CEO in May 2009 after a period serving as co-CEO with Henning Kagermann. His departure “by mutual agreement” and a return to a co-CEO set up between field chief Bill McDermott and head of product development Jim Hagemann Snabe will help SAP to “better align product innovation with customer needs”, the company said.

Analysts, however, pointed to the company's first drop in annual revenues since 2003 following a period of customer and staff discontent.

The company’s announcement said the supervisory board decided against extending Apotheker’s contract, which would have expired at the end of the year.

Thomas Otter, an analyst at market researcher Gartner and former SAP employee, told the Bloomberg news agency that the vendor needed to develop a “more compelling technological vision” and that a recent internal staff survey showed that Apotheker had failed to motivate them.
“The recent employee survey highlighted that under Leo, employee morale dropped significantly. This was a major influence on the board’s decision to change, probably more than the 2009 financial performance,” Otter said.


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Farewell Leo

Epaminondas | | Permalink

Interesting article but what the hell is SAP ?  Are we all supposed to know or couldn't you give us some help.


Perhaps it is an insider story. 

What is SAP?

dhwallace | | Permalink

Haha.  Assuming you're not joking, SAP is both the supplier of and itself the world's biggest selling ERP software package.  It dominates the provision of finance systems to blue chip companies but as a true enterprise wide systems it is much than just a finance package as it has fully integrated modules for MRP, HR, Payroll etc etc...


Anonymous | | Permalink

What is ERP

kombe's picture

Which Strategy?

kombe | | Permalink

Whatever prompted the earlier decision to scrap joint CEO was an error in strategy. The current move is perhaps meant to provide some short term comfort as SAP tries to get some feet. However, there's need for a far more radical long term strategy and I think Hasso needs to empower the new leaders to gain focus.


dhwallace | | Permalink

OK, you got me....


Gladstone | | Permalink

I truly believe that SAP applications have great potential to current and future business needs. But saying that I must say that until its' applications are well understood by general user-base, it is not going to grow or improve. Lot of experienced people still find it difficult to understand the complex info on SAP applications about what they could do to solve the business problems.

I hope the company improves as am heavily involved in the ERP that SAP provides!


do you know

Anonymous | | Permalink

what ERP stands for?

the previous poster that I asked apparently didn't kmnnow himself.


dhwallace | | Permalink

Well, a quick search on that InterWeb thingy well tell you that ERP stands for Enterise Resource Planning.  It comes from MRP - Materials Resource Planning - which were production planning systems that were the origin of SAP.  But really ERP means an enterprise wide system that does finance and some other stuff....