SAP on demand ApplicationHostingYour SAP infrastructure ready for use –fast and flexible

Highlights

■ Optimize costs changing from a fixed to a variable cost structure

■ Minimize risks while securing contracted service levels adapted to the

business needs of clients

■ Scalability based on standardized service at a fixed price that is

calculated according to the «pay-per-use» method

■ Flexibility that allows adjustment to quick-changing requirements

■ Reliability and continuity without limitations due to non-availability

of applications or technical resources and infrastructure

SAP on demand

SAP on demand permits clients to

achieve the operational performance

they need, without any investment

and while reducing costs.

Calculations depend on the process

functions employed, the required CPU

and the storage and services needed.

SAP on demand Solutions

The offer consists of the service

elements «SAP AMS on demand»

and «SAP Basis on demand».

Both elements are based on the

flexible on demand price model.

Flexible and Variable Parameters

The scope and performance of

«SAP on demand» are defined

primarly by the following elements:

- Selected service elements

- Availability of systems (SLA)

- SAP system environment chosen

- Volume of data and backup

procedure

- Specifically chosen service options

for SAP Basis on demand

- Scope and frequency of basic main-

tenance SAP AMS on demand

- Specifically chosen service options

SAP AMS on demand

SAP on demand Solutions

SAP Basis on demand

SAP Basis on demand is comprised

of the complete system architecture,

as well as the technical operation of

the infrastructure during and after

project implementation. The set-up,

use and calculation are based on the

selected SAP system environment, the

number of SAP components and the

development and quality assurance

procedures and production environment.

© Copyright IBM Corporation 2002IBM, the IBM logo and the e-Logo are registered trademarks of theInternational Business Machines Corporation in the USA and in othercountries. Conditions of contract and prices may be requested from theIBM offices and IBM Business Partners. Product information is as ofdate. Scope and object of the services are defined in the correspondingcontract. This document is strictly for general informational purposes.

SAP AMS on demand

SAP AMS on demand consists of the

operation of an application after pro-

ject implementation. The client has the

following advantages:

- No set-up and new application

skills necessary

- Use of IBM’s vast industry

know-how

- Use of specific implementation

know-how

The scope of the SAP AMS on

demand is determined with the client

and calculated together with basic

maintenance as a fixed annual fee.

Possible savings through a transition to use and calculation of SAP operation according to need

IBM reacts to market changes with this model depending on capacity, which develops a SAP operation for our clients that

allows variable user costs, flexible system environment and availability, as well as a visible service and price model, established

in units.

SAP on demand

Advantages and Benefits

SAP on demand offers clients the

following advantages:

- professional support in all infrastruc-

tural and operational aspects from

the initiation of the project

- no investment in server infrastructure

- cutting-edge technology

- minimal investment in expensive

SAP training

- permanent cost optimization with

constant savings through standardized,

flexible, variable service and contract

models.

PRACTICAL EXAMPLE

A midsized Swiss bank was deciding whether to buy and operate conventional hardware orthe «on demand» version from IBM «SAP performance as required». The high flexibility andprice advantages pushed the decision to the «on demand» model.

The banking institiution can depend on having highly-qualified personnel and immediate andpermanent capacity extension as required.

Additionally, it can transform fixed costs into variable costs, e.g., infrastructure. A cost comparison against the conventional version resulted in a cost-savings of approximately 20%.At the same time, the company could profit from the flexibility and capacity performance oflarger hardware without experiencing higher costs.

Price comparison: In-house operationand on demand model (in Swiss Francs)

In-house operation(at maximum capacity)Amortization Infrastructure 150 000.–Personnel costs 300 000.–Annual costs 450 000.–

on-demand-modelInfrastructural services 120 000.–Operational services 150 000.–Project costs 100 000.–Annual costs 370 000.–

Basis

IBM Schweiz

Bändliweg 21, P.O.Box

8010 Zurich

ibm.com/ch

You can find the IBM Home Page at:

ibm.com/services/ch

- permanent and longterm access to

highly-trained employees

- concentration on core business

areas

- high security as a standard and

constant priority

References

IBM has a large amount of SAP on

demand, Hosting and AMS resources

Please contact us for additional

information.