No More Caffeine for SAP Hana DB

SAP destroys its unique selling point

SAP is, of course, the global leader in ERP. However, when it comes to innovative ideas that extend beyond data and algorithms, the IT provider encounters challenges. The Hana building in Palo Alto, California, has now been closed. This was not the first decision based on financial considerations.

Many years ago, SAP enjoyed a distinctive advantage with an educational institution that offered a globally recognized MBA degree. SAP CEO Professor Henning Kagermann was instrumental in establishing the SAP Business School in Klosterneuburg, near Vienna, Austria. The then director, Professor Wolfgang Mathera, was able to gain recognition for the MBA training center quite quickly.

Professor Henning Kagermann was followed by former SAP CEO Léo Apotheker, who completed his MBA at Klosterneuburg remarkably quickly. The reason was not a lack of academic success, but rather that the SAP Business School was not making a significant contribution to SAP's overall results. At the time, SAP was the first technology company in the world to have its own MBA training center. SAP, however, unwisely relinquished this distinctive competitive advantage

No café for SAP Hana

Please also note that the Hana House in Palo Alto, California, was closed on October 1, 2024. The building served as a meeting venue, café, and office space. The concept was developed by Professor Hasso Plattner and former SAP Chief Technology Officer Vishal Sikka with the objective of promoting awareness of the innovative in-memory computing database, Hana.

The reasons for the closure of the Hana House are similar to those that led to the end of the SAP Business School. The café and school were not a significant source of revenue for SAP. CEO Christian Klein and CFO Dominik Asam are focused on ensuring profitability and contribution margin. Sponsoring a Hasso Plattner idea is no longer aligned with SAP's current strategy.

The SAP legacy of Professor Hasso Plattner

It has been several months since Hasso Plattner's departure from the role of Chairman of the SAP Supervisory Board. Additionally, three members of the SAP Executive Board, Julia White, Scott Russell, and Jürgen Müller, have already left the global ERP market leader. SAP has announced the elimination of up to 10,000 positions. The affected individuals were dismissed, transferred, or retired. The Plattner initiative to establish a Hana house in Palo Alto, California, has now been terminated.

It appears that the new leadership at SAP is attempting to expeditiously erase the legacy of the company's founding generation. The departure of former SAP Chief Technology Officer Jürgen Müller is a curious and mysterious development. It is worth noting that Jürgen Müller graduated from the Hasso Plattner Institute at the University of Potsdam, Germany, and was appointed to the SAP Executive Board with the active support of Hasso Plattner.

At the beginning of this year, when Plattner was still Chairman of the SAP Supervisory Board, Jürgen Müller's SAP Executive Board contract was extended by three years. Only a select few individuals within the company are aware of the reasons behind SAP's current efforts to swiftly and comprehensively erase the traces of the past. The legacy of Professor Hasso Plattner is at risk.