1. Introduction to SAP & ERP Name Dr. Bay Arinze, Drexel University

2.  SAP AG 2002, Title of Presentation, Speaker Name / 2 SAP Today SAP AG in 2001 revenues: € 7.34 billion 50,000 installations 18,000 companies run SAP Providing 21 Industry Solutions 29,400 SAP employees (as per June 2002) 12 million users in 120+ countries team with us to Integrate their business processes Extend their competitive capabilities Get a better return on information at a lower total cost of ownership Focused on users in all enterprises regardless of size Increased customer satisfaction and stronger customer loyalty Heavy investment into SAP’s worldwide business community

3.  SAP AG 2002, Title of Presentation, Speaker Name / 3 Global and Local Customers - A Selection

4.  SAP AG 2002, Title of Presentation, Speaker Name / 4 SAP Customer Profile mySAP installations by customer size 1000-2500 500-1000 200-500 16.2% 14.8% 12.2% 19.8% 37.0% Company revenues in millions of US$ >2500 < 200 57% of SAP customers have revenues of less than $500 million 84% of SAP customers have revenues of less than $2.5 billion

5. Evolution of ERP

6.  SAP AG 2002, Title of Presentation, Speaker Name / 6 Evolution Of Business Improved effectiveness through cooperation along the supply chain Inter-Enterprise Co-operation Inter-Enterprise Co-operation Cost reduction and efficiency through integration of business processes Enterprise Resource Planning Enterprise Resource Planning Value creation through collaboration within business communities Collaborative Business Collaborative Business The Internet Revolution

7.  SAP AG 2002, Title of Presentation, Speaker Name / 7 Traditional Business Model

8.  SAP AG 2002, Title of Presentation, Speaker Name / 8 Evolving Business Model

9.  SAP AG 2002, Title of Presentation, Speaker Name / 9 Collaborative Business Model

10.  SAP AG 2002, Title of Presentation, Speaker Name / 10 Definition of ERP and E-Business mySAP.com and mySAP.com Solutions SAP R/3SAP Offering...and value creation through collaboration Internal process optimization... Goals...and open integration platform Integrated system... Architecture...and collaborative, beyond company boundaries Integrated, core within enterprise... Processes...extended and collaborativeEnterprise centric... Business Model E-Business*ERP* ERP = Traditional Business Model E-Business = Evolving & Collaborative Business Model

11.  SAP AG 2002, Title of Presentation, Speaker Name / 11 mySAP.com and SAP R/3 – How It Fits Together mySAP.com 21 Industry Solutions mySAP Services mySAP Technology Enterprise Portal mySAP Enterprise Portals Exchange mySAP Exchanges SCM mySAP SCM CRM mySAP CRM PLM mySAP PLM SRM mySAP SRM HR mySAP HR FIN mySAP Finan- cials BI mySAP BI ERP SAP R/3

12.  SAP AG 2002, Title of Presentation, Speaker Name / 12 Enterprise Centric and Collaborative Processes HR mySAP HR SCM mySAP SCM FI mySAP Financials PLM mySAP PLM CRM mySAP CRM ERP SAP R/3 Enterprise Operative Financial and Cost Accounting Personnel Administration and Payroll Order Fulfillment Supply Chain Execution Engineering Change and Product Structure Management e.g. Financial Analytics e.g. E-Recruitment e.g. Campaign Management e.g. Supply Chain Planning e.g. Collaborative Engineering Internal, Core Focus Extended, Collaborative Focus

13.  SAP AG 2002, Title of Presentation, Speaker Name / 13 Core R/3 Applications / Functions Order Management Contracts & Pricing Filling & Picking Transportation Billing Sales & Distribution Batch & Recipe Mgmt. Forecasting & Scheduling MRP/CRP In-process Control EH&S Quality Manufacturing Purchasing Inventory Quality Warehousing Strategic Sourcing MRO Materials & Maintenance Central Repository of Integrated Data