SAP Among HCM Top 500

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SAP Strengths, Domain Expertise, and Key Differentiators

SAP is capable of reaching more than any other vendor when it comes to mission-critical enterprise applications. Because of the pandemic, SAP has shifted its priorities - focusing more attention on S/4 HANA Cloud aiming to deliver more of these back-office featues via all the major hyperscalers, while emphasizing the long-term value of sustainability push. SAP's long track record of delivering apps like Environment Health and Safety underscores its commitment to sustainabilty. Other new products from SAP like Responsible Design and Production and Rural Sourcing Management will help realize the goal of building a Circular Economy to reduce waste.

After gaining a critical mass for its ERP upgrade strategy, SAP has turned its attention to S/4 HANA Cloud under RISE with SAP, a rapid deployment program designed to boost cloud adoptions among its customers. In 2021, the vendor made RISE with SAP a centerpiece of its Intelligent Enterprise messaging as it signed up a few hundred customers in a given quarter. By the end of the year, there would be as many as 1,000 of such customers for RISE, along with 35,000+ for HANA including at least 17,500 for S/4 HANA, 12,000 for SuccessFactors, 5,700 for SAP Analytics Cloud, as well as many others that run transactional systems like Ariba, Concur and BusinessObjects.

SAP is capable of reaching more than any other vendor when it comes to mission-critical enterprise applications. Because of the pandemic, SAP has shifted its priorities - focusing more attention on S/4 HANA Cloud aiming to deliver more of these back-office featues via all the major hyperscalers, while emphasizing the long-term value of sustainability push. SAP's long track record of delivering apps like Environment Health and Safety underscores its commitment to sustainabilty. Other new products from SAP like Responsible Design and Production and Rural Sourcing Management will help realize the goal of building a Circular Economy to reduce waste.

The combination of business process innovation and enterprise-wide sustainability push is reshaping many global organizations including German auto-parts supplier Bosch with some 200,000 SAP users as one of the largest customers of SAP. These customers now look to SAP as the guiding force for continuous improvement and support in order to help them automate, digitize and run their operations around the clock without any disruption, a must-have in the post pandemic era.

SAP Recent Developments

SAP has signed more than 17,500 S/4HANA customers as of October 2021, compared with 15,100 a year earlier. The number of live S/4 HANA customers has reached 11,400 by 3Q21. RISE with SAP, which provides templates and easy migration path to S/4 HANA Cloud, has signed more than 650 customers in 2021 and it expects to close the year with more than 1,000.

By the end of 2021, SAP acquired Emarsys. Emarsys products will be added to the SAP Customer Experience portfolio, which includes market-leading solutions such as SAP Commerce Cloud, SAP Sales Performance Management, and SAP Customer Data Cloud, as well as others, adding 1,500 customers worldwide to their solutions.

SAP Mergers and acquisitions (M&A) Activities

In March 2021, SAP acquired Signavio for enterprise business process intelligence and process management. Signavio’s products become part of SAP’s Business Process Intelligence portfolio and complement SAP’s holistic process transformation portfolio. That followed the purchase of AppGyver for no-code development platform in February 2021. In 2020 SAP bought Emarsys for omnichannel customer engagement platform to complement its Customer Experience offerings. In early 2021 Qualtrics went public after SAP spun it off by retaining majority ownership.

SAP Customers in ARTW Customer Database

Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying SAP applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of SAP and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified Ariba Network: Sourcing, Procurement, & Finance, Concur Expense, Concur Invoice, Concur Travel, Fieldglass: Flexible Labor Management, SAP S/4 HANA, SAP S/4 HANA Cloud, SAP Business ByDesign (ERP for Midsize Business), SAP Business One Cloud (ERP for Small Business), SAP BusinessObjects Cloud for Analytics, SAP Hybris Cloud for Customer, SAP Hybris Cloud for Sales, SAP Hybris Cloud for Service, SAP Hybris Commerce, SAP Hybris Marketing, SAP Qualtrics, SAP Jam Collaboration, SAP Jam Communities, SAP SuccessFactors Employee Central, SuccessFactors Performance Management, SuccessFactors Recruiting customers.

SAP Key Cloud and HCM Applications

Ariba Network: Sourcing, Procurement, & Finance, Concur Expense, Concur Invoice, Concur Travel, Fieldglass: Flexible Labor Management, SAP S/4 HANA, SAP S/4 HANA Cloud, SAP Business ByDesign (ERP for Midsize Business), SAP Business One Cloud (ERP for Small Business), SAP BusinessObjects Cloud for Analytics, SAP Hybris Cloud for Customer, SAP Hybris Cloud for Sales, SAP Hybris Cloud for Service, SAP Hybris Commerce, SAP Hybris Marketing, SAP Qualtrics, SAP Jam Collaboration, SAP Jam Communities, SAP SuccessFactors Employee Central, SuccessFactors Performance Management, SuccessFactors Recruiting

SAP HCM and Cloud HCM Applications Revenues, $M:

Type/Year20192020YoY Growth, %
Total Revenues, $M Subscribe Subscribe Subscribe
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Cloud HCM Applications Revenues, $M Subscribe Subscribe Subscribe

* HCM Applications Revenues = License + Support & Maintenance + SaaS ( Hardware and Prof. Services are Excluded )
** All revenue figures are estimates based on public records, Cloud and Non-Cloud business models in Apps Run The World's vendor database, and annual survey results including vendor feedback.

SAP Revenue Breakdown by Type:

TypeLicenseProf. ServicesHardwareSupport & MaintenanceSaaSPaaSIaaSOther (Non Enterprise Application Revenues)Total
% of Total Revenues Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe Subscribe 100%
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SAP Total and HCM Applications Revenues by Region:

Region% of Total Revenues2020 Total Revenues, $M2020 HCM Applications Revenues, $M
Americas Subscribe Subscribe Subscribe
EMEA Subscribe Subscribe Subscribe
APAC Subscribe Subscribe Subscribe
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SAP Direct vs Indirect sales

RegionDirect SalesIndirect SalesTotal
Type % Subscribe Subscribe Subscribe
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SAP Customers - Breakdown by Geo, Size, Vertical and Product

List of Verified SAP Customers


No. of SAP Customers: 440000

No. of SAP HCM Applications Customers: 30000

No. of SAP Cloud HCM Customers: 40000

No. of SAP Cloud HCM Subscribers: 207 million


S/4HANA, the de-facto ERP product from SAP In 2020, is enjoying steady growth. About 2,200 SAP S/4HANA customers were added in the year 2020, bringing the number of customers to approximately 17,500 and increasing total adoption 16% year over year. The current assumption is that by 2025 SAP will be able to migrate 90% of its installed base of ERP customers, covering a total of 25,000 accounts and 48,000 systems, to S/4HANA as the core for these organizations.

There are now more than 7,000 organizations using SAP SuccessFactors software around the globe, including over 4,000 customers using the core HR solution, SAP SuccessFactors Employee Central. SAP still has more than 10,000 on-premise HCM applications customers, many of whom also run SAP Payroll on a global level.Another big bloc of customers lies in SAP Concur with more than 35,000 customers for travel and expense management. SAP Concur helps 45,000 customers and 66 million users around the world with travel, expense, and AP.

SAP also reported 6.1 million individuals now are being covered by SAP Fieldglass for contingent labor management.

SAP Market Opportunities, M&A and Geo Expansions

SAP Successfactors secured 12,453 customers including nearly 4,300 for Employee Central in the first half of 2021. SAP executives reported a deceleration among its customers in the first half of 2021 because of the lingering effects of the pandemic and it appeared that growth has returned in the second half aided by new products like Onboarding 2.0 and localized support across more than 100 countries. In 2021 SAP SuccessFactors launched Opportunity Marketplace to help boost internal mobility with personalized recommendations for career and skills development among existing employees. Additional support from RISE with SAP fast-track methodology as well as embedded analytics also fueled the momentum.

Aiming to expand reach of its analytics offerings, SAP is embedding more of its business intelligence software into its product portfoliio. In 2021, SAP changed the pricing of its SAP Analytics Cloud, essentially giving it away in an effort to spur adoptions as its customer count tops 5,700. In the past, SAP Analytics Cloud was list-priced at $23 per user per month for Business Intelligence. Now SAP is embedding SAC into its applications like SuccessFactors. Customers only need to pay extra if they want to take advantage of features like Planning. Simply put, SAP is adding value to its enterprise applications with handy tools like SAC that will eventually translate into greater use of SAP data.

The 2021 acquisition of Signavio is expected to help SAP better compete with fast-growing vendors such as ABBYY Solutions, Blue Prism, and Celonis in the process mining market, which is projected to double in size from $1.3 billlion in 2020 to more than $2.6 billion by 2025. Despite SAP's purchase of Signavio to fast-track the migration of its legacy ERP customers to S/4 HANA, most major enterprise software vendors are OEMing PM from other vendors, meaning that they view it more as an add-on or commodity product, not strategic to their core. with "

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SAP Risks and Challenges

The 2021 Qualtrics spin-off has put SAP into sharper focus on its core competency in ERP and business technology. Cloud migration among its vast installed base of ERP customers is improving with the help of RISE fast-implementation methodology and templates, despite some deceleration among potential customers adopting SuccessFactors Employee Central in the first half of 2021. Under Christian Klein as its sole CEO since April 2020, SAP appears to be taking a middle-of-the-road approach by making incremental changes like buying Signavio for process mining, but not spending an extravagant amount on deals as Salesforce has done with big acquisitions like Slack. Unlike his predecessors, Klein's cautious approach may well be the best medicine to accommodate the needs of most of its customers, especially that remain loyal to SAP through these decades. The question is whether that is enough to satisfy others that are taking extraordinary measures to reinvent themselves by staying relevant amid the crosscurrents of digital transformation, mixed blessings of the pandemic, and the widening political and social divides that are increasingly intertwined with what business purpose and technology benefits are all about in 2022 and beyond.

SAP Ecosystem, Partners, Resellers and SI

After years of expansion, SAP’s ecosystem now covers more than 22,000 partners in 140+ countries, including 5,000+ partners for its cloud ecosystem. The majority of SAP customers are coming through partners. SAP App Center is the digital enterprise marketplace with more than 1,600 partner solutions across a variety of SAP technologies and lines of business. More than 1,650 partners are building solutions on SAP Cloud Platform today, with nearly 650 SAP Cloud Platform apps available on SAP App Center.

In the SMB space, there are more than 65,000 SAP Business One customers including 10,000+ that are already on SAP HANA. In total, there are more than one million users running SAP Business One. More than 1,000 solution partners are providing direct support and add-ons to these SAP Business One customers.

For the midmarket, there are more than 200 solution partners with 6,500+ add-ons that have been made available to strengthen SAP Business ByDesign, which is built for midsized businesses between 50-5000 employees. Their average implementation time runs between 8-12 weeks. SAP Business ByDesign offers Web client with advanced analytical capabilities, advanced extensibility and customization capabilities and it has been deployed in 146 countries and localized in 12 languages. All companies run SAP Business ByDesign on the latest SAP HANA release and SAP Fiori user interface. There are also more than 800 standard reports out of the box for SAP Business ByDesign customers.

At the Enterprise level, in 2019, SAP Digital Business Services was expected to turn over more S/4HANA implementation projects to its partners. The current plan calls for by 2025 SAP will be able to migrate 90% of its installed base of ERP customers, covering a total of 25,000 accounts and 48,000 systems, to S/4HANA as the core for these organizations. SAP DBS executives expect partners to be carrying out 80% of those S/4HANA implementations. What that entails is the upskilling of many consultants and implementers among its key partners such as Accenture, Deloitte, IBM and others.

The SAP Global Partner Organization also announced plans to certify as many as 10,000 new SAP consultants every quarter. Increasingly, SAP plans to recruit software partners especially PE-funded vendors, rather than traditional ISVs and OEM representatives. The key is to identify those that can easily extend their platforms to Cloud products from SAP while taking the engagement to the next level with revenue-sharing incentives, indirect usage rights, and integrated support all listed and promoted via SAP AppCenter and joint-sales done on SAP paper.

Another major ecosystem development lies in SAP cozying up with Microsoft with the latter reselling and placing many SAP products through its direct sales force and Microsoft Azure infrastructure. While the relationship between the two has been evolving through the years first with Duet where the two collaborated on putting SAP applications on Office and Microsoft Sharepoint over the past decade. Last year, SAP, Adobe and Microsoft announced the Open Data Initiative whereby the three agreed on a common data model for business data that span their vast product portfolios. In October 2019, the partnership grew under a new pact between SAP and Microsoft that is expected to generate €225M in new Cloud revenues over the next three years. Microsoft's sales force will start selling SAP S/4HANA and SAP's Cloud platform products, all running on Azure. The alliance between the two calls into question whether SAP will continue to rely on Google.

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Research Methodology

Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.


Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).


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