« Oklahoma is OK | Main | Storm Day »

How do you measure "empty calories"?

Uwe Hommel, Exec VP of Active Global Support and Bill Wohl, VP in the Global Communications organization at SAP spent 2 hours yesterday trying to justify to Dennis Howlett and me the value and tools SAP is delivering for the increased maintenance pricing it wants.

As we have acknowledged a number of times, we highly respect SAP was engaging in such dialogues with bloggers. 4 hours of two senior executives is a large investment.

But in the end we felt like Michael Davidson CIO of Apotex, a large Canadian pharmaceutical company who tells CIO Magazine about SAP's planned increase "Supposedly, we're going to get more value. I haven't seen it because I haven't been shown it,"

Dennis and I kept pushing for a more analytical justification of the increase with support metrics (which every software vendor has in spades), breakdown of support economics and performance ratings of SAP partners which supposedly are increasing its support costs. In my book, maintenance costs should have been declining not increasing over the last decade given SAP's growth in cheaper non-German staffing, the SDN community which is increasingly handling routine queries, and the support automation which reduces labor costs.

SAP has promised to come back with a more analytical justification - within the limits of what they can disclose without running afoul of financial regulators. That would certainly be welcome.

Because the only thing I could measure from the call yesterday was that Uwe protested at least ten times my use of the term "empty calories" when it comes to SAP maintenance.

Update: Larry Dignan and Dennis Howlett weigh in at ZDNet - about empty calories also at other software vendors

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00d8345190da69e200e553f2624b8833

Listed below are links to weblogs that reference How do you measure "empty calories"?:

Comments

Verify your Comment

Previewing your Comment

This is only a preview. Your comment has not yet been posted.

Working...
Your comment could not be posted. Error type:
Your comment has been saved. Comments are moderated and will not appear until approved by the author. Post another comment

The letters and numbers you entered did not match the image. Please try again.

As a final step before posting your comment, enter the letters and numbers you see in the image below. This prevents automated programs from posting comments.

Having trouble reading this image? View an alternate.

Working...

Post a comment

Comments are moderated, and will not appear until the author has approved them.


Google

  • Google
    Google

    WWW
    dealarchitect.typepad.com

ads