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The SAP User Revolt

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Users of SAP disrupted a recent show in London with complaints over the company's plan to raise support costs for its customers. Users complain that the company forces them into support packages with higher service levels than they need, then charges them more for the privilege.


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SAP's (NYSE: SAP) More about SAP AG World Tour 2008 event in London last week gave customers another opportunity to voice concerns about the mandatory rise in support Linux MPS Pro - Focus on Your Business - Not Your IT Infrastructure. $599.95/month. Click to learn more. costs they will pay from January next year.

The concerns follow the UK SAP User Group's failure successfully to oppose the plan, which will involve major price increases for many customers.

The user group had argued that SAP was implementing "a one-size-fits-all strategy for support," and that many customers would not use the extensive package for which they would be paying nearly 30 percent more.

Limited Options

The rise in costs "stinks," according to Mark Lowther, ICT director at the Forensic Science Service, a government-owned organization with 2,000 employees that provides forensic services to the UK police. "A lot is offered in the package that I simply do not need," he added.

Lowther interrupted keynote sessions at the London event, and appealed to SAP managing director Steve Rogers on the issue of the increased costs. But Rogers was quick to silence his concerns, suggesting that they could be addressed later in the day.

SAP intends to use a graduated pricing plan to transition customers on Standard Support contracts or SAP Premium Support over to Enterprise Support whether they like it or not.

Customers will then have access to a more comprehensive level of support, according to the company, such as guidance on how business processes can be improved and how a service oriented architecture can be successfully delivered.

Unpopular Plan

When users first caught wind of the expensive support change, the SAP User Group launched a formal complaint to the company.

User group chairman Alan Bowling highlighted the "hugely negative feedback" from SAP customers, and argued that the new support offering had "yet to be fully proven".

But SAP confirmed in July that it would not accommodate the User Group's concerns, even if it meant customers paying for services they did not need.

Lowther said that the Forensic Science Service had bought all of SAP's applications, apart from the CRM offering.

He warned that the lack of attention SAP had given to customer complaints would cause him to consider other vendors that deliver CRM services More about CRM services. "Salesforce is an interesting option," he said.

© 2009 VNU Business Online Limited. All rights reserved.
© 2009 ECT News Network. All rights reserved.

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