Oracle Corporation et al v. SAP AG et al

Filing 1206

Declaration of Nargues Motamed in Support of 1202 Statement Joint Statement in Support of Evidentiary Issues filed byOracle International Corporation. (Attachments: # 1 Exhibit A-0059, # 2 Exhibit A-6329-1, # 3 Exhibit A-0367, # 4 Exhibit A-5042, # 5 Exhibit A-5997, # 6 Exhibit A-6042-1, # 7 Exhibit A-6205-1, # 8 Exhibit A-5193, # 9 Exhibit A-5995, # 10 Exhibit A-5058, # 11 Exhibit A-5002-1, # 12 Exhibit A, # 13 Exhibit B, # 14 Exhibit C, # 15 Exhibit D, # 16 Exhibit E, # 17 Exhibit F, # 18 Exhibit G, # 19 Exhibit H, # 20 Exhibit I, # 21 Exhibit J, # 22 Exhibit K, # 23 Exhibit L, # 24 Exhibit M, # 25 Exhibit N, # 26 Exhibit PTX 0008, # 27 Exhibit PTX 0014, # 28 Exhibit PTX 0161, # 29 Exhibit O, # 30 Exhibit P, # 31 Exhibit Q, # 32 Exhibit R, # 33 Exhibit PTX 4809, # 34 Exhibit PTX 4819, # 35 Exhibit PTX 0012, # 36 Exhibit PTX 0024, # 37 Exhibit PTX 0960, # 38 Exhibit PTX 7028, # 39 Exhibit S, # 40 Exhibit T, # 41 Exhibit U, # 42 Exhibit V, # 43 Exhibit W, # 44 Exhibit PTX 8040, # 45 Exhibit PTX 2582, # 46 Exhibit X, # 47 Exhibit Y, # 48 Exhibit PTX 8112, # 49 Exhibit PTX 8111, # 50 Exhibit PTX 8108)(Related document(s) 1202 ) (Howard, Geoffrey) (Filed on 8/2/2012)

Chapter 1.0: Summary & Strategy
Siebel Safe Passage

1.1

Executive Summary

The Siebel Safe Passage program is designed to ensure that SAP customers with Siebel
implementations can take advantage of both a financial incentive and the added business
value of moving to mySAP CRM. In addition, it is an opportunity to revisit the JDE/PSFT
customers who also own Siebel and provide them with an additional incentive to
reevaluate and take advantage of the Safe Passage program.
The opportunity is to move the 300+ SAP customers SAP and Siebel have in common and
migrate them to mySAP CRM.
This Safe Passage Program should be used as the door opener to begin discussions on
migration from Siebel to mySAP CRM. Use the Siebel Safe Passage program to engage these
targeted customers on the business value of moving to mySAP CRM.
The intention of the Siebel Safe Passage program is to contact these valuable customers and
present to them:
• focused messages around the value of the SAP solution
• how the Oracle acquisition of Siebel validates that SAP’s strategy of enterprise CRM
has been and continues to be correct
• that customers are demanding industry specific end to end business processes on a
platform that is agile and open
It is important to sell the value that SAP brings to these targeted customers and not simply push
the financial incentive of the program. Use the Safe Passage offer (license credit, etc.) as an
incentive to compel them to take action.
The Siebel Safe passage program is intended to make the migration to the SAP platform as
smooth and cost effective as possible. The components of the offer are bundled to create an
“onTime, onBudget, onValue” message for the customer.
There are two primary strategies set for this Safe Passage program. These strategies support the
evolution happening within the CRM industry today.
• First, in the SAP customer base, SAP must protect this base from encroachment by
Oracle. With the Siebel acquisition, Oracle will have a new point of entry into our
customers with access to the Siebel-loyal executives found within our base. Their
combined offerings in specific industries can be viewed as giving them a superior
solution and in some customer instances all SAP products could be at risk. Therefore,
the highest priority must be given to converting the Siebel installations to SAP CRM.
• Second, as the number of CRM suppliers continues to consolidate, and the market
validates (evidenced by Siebel’s failure) that CRM buyers are no longer focused on
features but more so on addressing the business processes necessary to win, know and
keep customers, providers of enterprise CRM solutions become the desired solution.
Any Siebel customer needs to reassess their CRM strategy to now consider an
enterprise CRM strategy. As such, Siebel customers must be made aware of the CRM
solution from SAP.

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1.2

Launch Date

The launch date for the Siebel Safe Passage program is Oct. 17th (to coincide with the Siebel
Customer Conference), which is close to the ‘release to customer’ date of mySAP CRM 2005,
allowing customers to take advantage of the latest release of SAP’s market leading CRM
solution.

1.3

Program Objectives & KPI’s

Keep Oracle out of our customer base. Provide an incentive to Siebel customers who have a
SAP footprint to migrate from Siebel CRM to mySAP CRM.
Create new CRM opportunities. Generate new enterprise license opportunities targeted at
Siebel customers where there is an existing SAP footprint.
Opportunity to revisit original Safe Passage with JDE/PSFT customers that also have
Siebel. Customers that may have taken a “wait and see” position that also have Siebel may now
be more interested in moving to SAP and take advantage of both Safe Passage offerings. These
customers should be approached as “greenfield enterprise” prospects.
SAP has CRM!!! Improve market awareness around mySAP CRM by leveraging press and
mass media activity surrounding the Safe passage program.
Talk to our customers. Utilize Safe passage as an opportunity to reconnect with our customers.
Convert 5 joint SAP/Siebel customers by the end of Q2 and 20 by the end of Q4. (SAP America
KPI)

1.4

Messaging Strategy Overview

The messaging and positioning for the program focuses around the value of the SAP CRM
solution and how the Oracle acquisition of Siebel validates that SAP’s strategy has been and
continues to be correct - that customers are demanding industry specific end to end business
processes on a platform that is open, flexible and adaptable.
It is important to sell the value that SAP brings to these targeted customers and not simply push
the financial incentive of the program. Use the Safe Passage offer (license credit, etc.) as an
incentive to take action.
The Siebel Safe passage program is intended to make the migration to the SAP platform as
smooth and cost effective as possible.

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All messaging will target the value SAP customers have been receiving from the solution and to
question if this same value can be received as an Oracle customer. The program messaging
also focuses on the unknowns of the Oracle solution as well as the future of the Siebel solution.
SAP is the right decision.
For these targeted customers, business needs haven’t changed, only the vendor (Siebel) they
thought would provide them their solution has. SAP is the vendor that now provides them the
stable platform to continue to invest with. mySAP CRM has made tremendous strides since
customers originally looked at SAP.
• the solutions are now leading the market
• supporting over 25 industries
• the user experience has been greatly enhanced
• SAP is continuing to make significant investments in CRM
• SAP has attracted some of the industry’s most experienced talent to ensure “best of
breed” thinking permeates our CRM solution
We’ve been busy doing the right things for our customers.
While others in the market have been focused on growing by acquisition, with the added
distraction of “fusing” together multitude of platforms, SAP has been busy creating and continuing
to invest in an integrated CRM solution on a single platform. Our strategy has been validated by
analysts, customers, and even our competitors as the correct strategy. Tom Siebel himself said,
“Businesses are no longer interested in connecting standalone applications and want
integrated suites from a single vendor.”
Now is the time.
As SAP/Siebel customers contemplate the uncertain future of their CRM solution, the timing has
never been better for customers to take another look at SAP and migrate to mySAP CRM.
WHY?
1. As the leader, we have and will continue to lead and invest in
• R&D to ensure innovation for our customers
• Hiring the best and brightest to ensure “best practices“
• Gaining traction in the marketplace which has also been validated by the
analysts
2. Focusing on increasing the value of CRM by
• Building out best practices by Industry
• Providing integrated solutions
3. Ensuring our customers‘ success
• Improving adoption - making it easier to use
• Creating significant proven value
• Ensuring a migration path

1.5

Partner Strategy

Partner Strategy

Many of SAP’s alliance partners have or will be offering strategic and
tactical solutions to assist customers in determining how to migrate to

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mySAP CRM from Siebel. Many of these offerings are “strategic” in that
they allow the customer to evaluate their current CRM strategy and use
this as an opportunity to adjust or enhance that strategy prior to a
reimplementation effort.
Deloitte Consulting offers a half-day strategic assessment called
“Move-The-Needle.” Deloitte consultants would show prospects how a
single, integrated SAP platform would increase earnings per share.
Deloitte benchmarks a prospect’s performance against its peers and
helps identify improvements that would drive shareholder value. After
the session, Deloitte will quantify the benefits of "moving the needle"
along the key value drivers of revenue growth, operating margin, asset
efficiency, expectations – and collectively shareholder value. Deloitte
presents the results of “moving the needle” in a tri-fold brochure,
featuring benchmarking results, business case, and a detailed
Enterprise Value Map™ to show the enablers from an integrated SAP
platform. Deloitte offers solutions to accelerate the process of migrating
from Siebel to SAP CRM, including UI, business process, and data
migration. Deloitte has migrated its implementation of Siebel to SAP
CRM. Deloitte employs over 3,500 CRM consultants.
Capgemini offers a Siebel-to-SAP CRM Migration Accelerator Toolkit.
The toolkit is designed to reduce the time and cost of migration.
Specifically, Capgemini provides services for Siebel Data Extraction,
Conversion, Mapping and loading to SAP CRM.
Inforte’s 250+ consultants focus on customer management and
business intelligence solutions. Inforte has been delivering Siebel
solutions to customers since 1996 and has assisted with 120+ Siebel
implementations. Inforte offers free diagnostics for prospective
migrations. Inforte conducts short workshops to understand how the
customer may benefit by migrating to SAP CRM. Through the
assessment, Inforte quickly identifies a high-level mapping from Siebel
to SAP for functionality and integration points and provides a gap and
benefit analysis.
Infogain has 70+ consultants focused on CRM, having conducted over
100 Siebel projects over the past 8 years. Infogain offers free
assessments for prospective migrations. The scope includes a review
of the Siebel application, usage, interface, reporting, and infrastructure
requirements. Infogain also offers Siebel to SAP CRM data
conversions, along with implementation services to support additional
business processes.

1.6

Sales Strategy

Sales Strategy for Safe Passage for Siebel
As discussed earlier in this document, there are two primary strategies set for this Safe Passage
program. These strategies support the evolution happening within the CRM industry today.
• First, in the SAP customer base, SAP must protect this base from encroachment by
Oracle. With the Siebel acquisition, Oracle will have a new point of entry into our
customers with access to the Siebel-loyal executives found within our base. Their
combined offerings in specific industries can be viewed as giving them a superior
solution and in some customer instances all SAP products could be at risk. Therefore,
the highest priority must be given to converting the Siebel installations to SAP CRM.

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•

Second, as the number of CRM suppliers continues to consolidate, and the market
validates (evidenced by Siebel’s failure) that CRM buyers are no longer focused on
features but more on addressing the business processes necessary to win, know and
keep customers, providers of enterprise CRM solutions become the desired solution.
Any Siebel customer needs to reassess their CRM strategy to now consider an
enterprise CRM strategy. As such, Siebel customers must be made aware of the CRM
solution from SAP.

To meet these objectives, a sales strategy has been created to assist you in successfully selling
CRM into existing Siebel accounts. The sales strategies are outlined below.
Getting Siebel out of the SAP customer base
The marketing organization has identified SAP accounts that have both SAP solutions and
Siebel. These accounts need to be contacted and presented with the Safe Passage program.
Certainly, the CIO’s office will recognize that the SAP value proposition focused on reducing the
customer’s total cost of ownership is compelling, but this strategy alone will not convince any SAP
customer to migrate from Siebel to SAP CRM. It is imperative that your sales strategy be focused
on proving the value that SAP CRM can bring to the business.
One key to a successful strategy will be to find the compelling event that will cause the customer
to be more open to considering SAP CRM. With most Siebel customers being on the current
version (7.x), many of those customers will consider migrating when:
• Expanding users - They must address a new business issue that means purchasing
more licenses
• New lines of business want to use CRM - They have a new organization that needs to
become part of the CRM ecosystem (e.g. sales is using Siebel and marketing wants to
begin using the solution; this would be a time that customers might consider installing
SAP CRM)
• Integration points break - They upgrade Siebel or SAP and their integration breaks. This
is an opportunity for them to move to SAP CRM.
• Business processes change – the cost and risk to integrate two solutions rather than
one SAP solution should be evaluated.
We strongly recommend a two pronged, parallel approach with your customer.
• To the CIO you must message the business value of an integrated, enterprise CRM
solution along with the TCO message.
• At the same time you must find and sell to the line of business executive who will be
most effected by Oracle’s acquisition of Siebel.
The messages, offer, desired outcomes, sales tools, etc that follow are to assist you in this sales
pursuit:
The value message to deliver to the LOB is:
• It’s time for you to reevaluate SAP and better understand what Tom Siebel meant by
saying, “Businesses are no longer interested in connecting standalone
applications and want integrated suites from a single vendor” and see the value that
SAP customers have experienced.
• SAP CRM is functionally complete and can provide the added benefits of industryspecific, end to end business processes that are delivered out of the box to address your
business needs.
• With an integrated solution, IT will be able to more quickly address your new business
requirements.
• SAP CRM customers have proven ROI which includes on average, increasing revenue
by 40%, increasing lead flow by 30% and increasing customer satisfaction by 25% (from

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the McKinsey report).
The value message to deliver to the CIO is:
• It’s time for you to reevaluate SAP and better understand what Tom Siebel meant by
saying “Businesses are no longer interested in connecting standalone applications
and want integrated suites from a single vendor” and see the value that SAP
customers have experienced.
• SAP’s Netweaver architecture along with ESA allows IT to be more agile when
addressing the changing business environment of the business organizations while at the
same time allowing you to reduce your cost of servicing these organizations.
• Moving to SAP as your enterprise strategic partner mitigates your risk in that a integrated
solution is more cost effective. It allows you to adjust your IT spend from focusing on
integration to solving real business pains.
• Reduces your total cost of ownership by providing a platform that is:
o A common environment where you will have common architecture and toolkit and
leverage the investment you have made in your IT infrastructure and personnel.
o Simplifying of your application landscape – reducing the number of applications to
support and maintain.
o Integrated by design with industry specific end to end business processes that span
your enterprise and reduce silo’s of processes and data.
The offer for Safe Passage is ‘OnTime, On Budget, On Value’ • Financial incentive – providing up to a 75% credit for their current (covered under
current Siebel maintenance) Siebel license converted to like SAP products.
• Value Engineering engagement to qualified customers. This engagement is focused on
helping customers monitor and safeguard the transition from Siebel to SAP. Value
Engineering provides an actionable plan to maximize business value, a comprehensive
TCO analysis and the required governance process for project success. This will ensure
a low risk migration and optimal speed to value. Additional information on this offer can
be found within the Siebel Safe Passage sales kit.
• Bundled service offerings - business process assessments and implementation
services from both SAP Consulting and SAP’s certified partners focused on a smooth
migration from Siebel to SAP CRM.
• Bundled training offering to accelerate SAP CRM knowledge within the IT and business
community.
The desired outcome of the initial calls with the CIO and LOB is at least one of the following:
• CIO call: Insight on the current Siebel solution and business issues faced by the LOB to
prepare you in meeting with the line of business executive whose organization is using
Siebel. This meeting is to understand the current use of Siebel by the business
community and to begin discussions about how SAP CRM can address the current
business environment and how SAP CRM can provide additional value (new end to end
business processes, leveraging information in the current R/3 system, etc).
• CIO call: Fine tuning of the current value driver estimate using the online value
calculator. As part of the sales kit, there is a document and presentation outlining the
various levers that can be moved to show how moving from Siebel to SAP CRM can
indeed improve TCO while driving revenue.
• LOB Call: The VE “onValue” engagement. VE should be engaged in highly qualified,
competitive opportunities where a more in-depth value selling conversation has to be
conducted. Approval for the engagement is required by the regional sales VP.
• LOB/CIO Call: An assessment of cost to re-implement their CRM strategy using SAP
CRM. If the customer wants a very tactical answer on how much will it cost to reimplement in SAP CRM, the SAPC “Safe Passage Assessment” should be used. This is
a two day assessment (see SAPC offerings) at no cost to the customer. You will also
notice that there are SAPC offers that are designed to accelerate the customer’s

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•

adoption of SAP CRM. It is the goal of this program that customers will begin an
implementation and not just convert their licenses to only put them on the shelf.
LOB Call: A re-evaluation of the CRM strategy. A customer who will see this time of
uncertainty as an opportunity to update their CRM strategy and to improve their
processes, should engage our SI partners who have various offerings to strategically
assist these customers in improving their process and then migrating from Siebel to SAP
CRM (see Partner offerings).

Sales Tools available to be used when executing the above strategy:
• Initial customer presentation for both the CIO and LOB discussing the SAP CRM value
proposition, why SAP CRM, and outlining the program.
• Value driver document that addresses the various items which effect TCO.
• SAPC offerings presentation
• Partner offerings presentation
• Online value calculator
• Self-running demo showing the “end to end process” of quote to cash proving the value
of an enterprise solution.
• Tri-fold/brochure on the Safe Passage for Siebel program.
• Tri-fold for the onValue VE engagement.
The sales process that should be used when selling to SAP customers who also have Siebel:
• Marketing will identify the accounts in your territory that meet these criteria (Siebel in
SAP customer).
• You will receive a lead identifying the customers as part of the Safe Passage program.
• You will also have the CRM NOW AE identified – this is your partner in selling to these
accounts.
• You will have two weeks to either accept or reject the lead. If the lead is rejected, you
must put in the reason for rejections. If the lead is accepted, it will convert to a “F” status
opportunity.
• Accept the lead (converts to an “F” opportunity) and begin (with the CRM NOW AE) to
prepare your attack strategy.
• iAE will be available to assist with identifying the right line of business executive. It is the
responsibility of the CRM NOW AE to work with the iAE on the priority opportunities.
• Ideally, information that you should gather before the call:
o Version of Siebel currently installed
o Maintenance renewal date (Siebel product)
o Siebel product installed
o Identify line of business executive sponsor and learn:
Business areas that Siebel is addressing today
New business pains that Siebel is not addressing
o Versions of SAP products installed (SD and SCM installations will have a superior
value proposition as this is information sales can quickly leverage).
o Any integrations already completed with Siebel, future/needed integrations
•
Customize, as necessary, the initial sales presentation including identifying appropriate
references (see “Siebel replacements” in this document).
•
Initial LOB meeting:
o
See LOB specific messaging in this document to help you prepare for this meeting.
o
Spend as much time as possible learning about:
Their CRM strategy
What they were trying to accomplish with their Siebel solution
What they really like about Siebel
What they cannot do with their solution
Their relationship with IT (too slow to build new functionality, integration, etc)
o Your presentation should include:
Specific value drivers based upon your research

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Why SAP CRM
Proof points – including references, quotes, etc
Overview of the program
• Initial CIO meeting:
o See CIO specific messaging in this document to help you prepare for this meeting.
o Your presentation should include:
Specific value drivers based upon your research
Why SAP CRM
Proof points – including references, quotes, etc
Overview of the program
• Each meeting should seek the outcomes described in the “desired outcomes” section
above.
• After the initial meeting, update the opportunity noting:
o
Date of presentation to CIO and LOB
o
Status and note reflecting the next steps
• If the line of business executive is driving the sales process, then the SAP CRM AE
should drive the sales process with the LOB executive. At this point a standard sales
cycle begins using the standard CRM sales tools.
• Weekly reports will be distributed to the SVPs showing number of conducted meetings,
number of leads converted, number of leads “closed” with reasons, and number of
closed opportunities. All customers where leads are closed will be evaluated (those
showing no interest in getting off SEBL).
Moving Siebel customers to SAP who have no SAP footprint
This portion of the strategy is to gain broad awareness of SAP CRM within the industry as well as
deliver the SAP CRM message to specific, targeted Siebel customers. The targets, in order of
priority are:
1. PSFT/SEBL and JDE/SEBL customers in these industries – Consumer, High Tech,
IM&C
• These customers, while they may have considered Safe Passage in the past, now
have a more compelling reason to move to an enterprise application partner that can
address their business issues on a single platform.
• These industries have been chosen as they are considered our more mature
industries and have deeper CRM-specific industry business processes.
2. Siebel customers in the Consumer, High Tech, IM&C, and Service industries that have
legacy applications in the back office.
• These customers have not been part of any previous Safe Passage program but now
can take advantage of this program and move to an enterprise platform.
3. PSFT/SEBL and JDE/SEBL customers in these industries – Media, Auto, Public Sector,
Process, Utilities, Service Provider
4. SEBL onDemand customers will not be directly marketed to but we anticipate some
interest from onDemand customers. These will be carefully qualified (see onDemand
strategy below).
5. Caution is given to
• pursuing Siebel accounts in the following industries where the account has no
intention of moving to an SAP back office – Life Sciences, Banking, Insurance, Telco,
Retail, A&D
• Siebel accounts with large mobile sales forces where there is no SAP backend
• pursuing large Siebel call centers in low priority industries
The ideal candidate is one that wants to move to a common, single, integrated platform –
meaning take advantage of the enterprise solutions that SAP offers. While the prospect may use
this program as an opportunity to move to SAP, it is not intended that they must start with CRM.

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The marketing campaign will
• Create general awareness and it is anticipated that the telesales organization will
receive inquiries from our banner ads, press release, etc. The telesales organization
will qualify these inquiries and pass leads based upon the prospect type below.
• Create mail drops and emails with offers to the Siebel accounts listed above in
priority as stated. Again, telesales inquires from these offers will be followed up by
telesales for qualification and then passed field as appropriate.
The above targets will result in three types of prospects:
1. Enterprise prospects – these leads will be routed to the AE for pursuit
2. Standalone CRM prospects – these leads will be routed to the CRM NOW AE
3. (onDemand - SaaS) prospects – after strict qualification which requires that the account
has an intention of moving to an SAP enterprise solution, these leads will be routed to
the CRM NOW AE.
Sales strategy and process for targets that are focused on the “enterprise” message
The message to deliver to the CIO/LOB is:
1. The message for this prospect is similar to the previous JDE/PSFT Safe Passage
messages with the inclusion of the CRM messages described in the previous CIO/LOB
messaging (section “Get Siebel our of our Customer Base” ).
2. Risk has increased - Oracle has acquired Siebel and introduced huge uncertainty into
the future of the Siebel product. The work required to move JDE/PSFT and Siebel to a
single platform could be overwhelming. SAP is the partner that can offer you a solution
today.
The offer, desired outcomes and process are the same as previously stated. The sales tools
for this are as previously defined but the original JDE/PSFT materials should also be consulted.
Sales strategy and process for targets that appear to be Standalone CRM:
The message to deliver to the LOB is:
1. Oracle has acquired Siebel and introduced huge uncertainty into the future of the Siebel
product. It’s time for you to reevaluate SAP and better understand what Tom Siebel
meant by saying, “Businesses are no longer interested in connecting standalone
applications and want integrated suites from a single vendor” and see the value that
SAP customers have experienced.
2. SAP has standalone customers.
3. SAP CRM is functionally complete and can provide the added benefits of industryspecific, end to end business processes that are delivered out of the box to address your
business needs.
4. SAP CRM customers have proven ROI which includes on average, increasing revenue
by 40%, increasing lead flow by 30% and increasing customer satisfaction by 25% (from
the McKinsey report).
The offer is the same offer as previously stated. At this point, this is a typical CRM pursuit and
tools, process, etc should follow that sales process. This opportunity should be lead by the CRM
NOW AE.
Inquires from onDemand customers will typically come from the IT organization or from the VP
of Sales’ organization.
• The telesales organization will qualify these inquires to specifically probe for the
accounts interest in SAP as an enterprise solution. These accounts must show an
interest in moving to a SAP enterprise solution. Our SaaS offering should not be sold to
prospects that have no intention of using other SAP solutions.

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•
•

If the prospect shows some inclination and desire to move from the onDemand model,
they will be treated as an enterprise Safe Passage lead.
For inquires that meet our CRM Express qualifications (more than 200 users, not mobile,
desire to move to an SAP back office solution, etc.) the leads will be forwarded to the
CRM NOW AE for further qualification and under NDA these accounts will be briefed on
CRM Express (until January 2006 when CRM Express is launched).

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Chapter 2.0: Program Offers
Siebel Safe Passage
2.0

Offers

SAP Consulting
Offering Description
Assessment of Re-Implementation Costs - this on-site 2day assessment will leverage
the NCC CRM consulting expertise and provide the customer with a high level
estimate on the cost to implement their current solution in mySAP CRM. There will be
an $18K internal cost for this service which will require an IO.
Existing Service Select CRM Offerings
Update Service Select offerings to include 100 hours of interface work that would
move data between Siebel and SAP. (offering to be developed)
Service Select for IC Web (offering to be developed)
Solution Manager – Reduced cost technical installation and setup/training on
Solution Manager

Global Relevant?
No

No
No
No
Yes

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Value Engineering Engagement
Offering Description

Global
Relevant?
No

Siebel Safe Passage Value Roadmap
As part of the Safe Passage offering SAP America will offer a two week study, at no cost, to
qualified customers (“licensee”) that will identify the measurement and realization of business
value and IT cost optimization that may be attained by the licensee through the Siebel Safe
Passage Program. The following defines the intent in this undertaking, along with listing the
tasks the SAP team will execute, the personnel resources requested and the deliverable SAP
will provide
1) Scope
The scope of the value assessment will evaluate the optimal use of mySAP CRM as the
application and integration platform in lieu of Siebel to manage customer and partner
relationships at the Licensee’s organization. The study will be conducted in collaboration
with the Licensee’s business and IT personnel as well as SAP Business Consulting
resources and will address the following three areas:

2)

3)

4)

5)

a. Business Value Assessment
b. IT Cost Optimization
c. Safeguard and improve speed to value from existing investments in CRM
Objectives
a. Identify a business process improvement portfolio
b. Identify the benefits of each process improvement area.
c. Identify the risks and risk mitigation plan for each improvement area.
d. Create a SAP CRM transformation roadmap to enable identified benefits.
e. Develop optimal investment allocation to match the targeted improvements.
f. Establish an implementation plan to mitigate risks and accelerate speed to value
Deliverables
Project deliverables will be two executive documents: a board-ready presentation of the
recommendations and the details of the listed deliverables
a. Collaborative estimate of business value areas to be achieved over a 3-5 year horizon.
b. Estimated cost by major cost category
c. High level risk mitigation strategy and plans
d. High level 3-5 year implementation roadmap
e. Recommendations on optimizing IT cost structure
f. Recommendations to mitigate risks and optimal governance structure for successful
implementation
Resource and Data Requirements
To effectively deliver on the objectives stated above, SAP will require the following:
• Executive sponsorship from business leaders
• Access to business process owners
• A dedicated manager to help coordinate engagement efforts, including scheduling
interviews and gather requested data
• Access to relevant, often confidential, business information including strategic direction
of the business and organizational structure
• Executive review of findings with buy-in to benefits and finalization process
How To Engage?
Please contact your Regional Sales VP to qualify and engage the Value Engineering
Team for a Siebel Safe Passage Opportunity

SUMMARY
SAP will plan to deliver this service, as defined, at no charge to the licensee. Expenses
incurred for travel, per diem, and the development of our findings will be covered by SAP. In
the event that the licensee were to ask SAP to extend our work and engage in a consultative
process beyond the scope of this defined process, we reserve the right to state that certain
tasks the licensee may request to be out of the scope of this undertaking, and will provide the
licensee with a time and material services proposal to consider us to deliver such a request.

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Training
SAP Education proposes a combination of e-learning and classroom training in an introductory
training package. The offering provides both flexibility and value.
The cost of the package is $40,000. Included in the package is $40K of Project Team Training
and E-Learning titles for 8 members of your team. The courses are grouped below by interest
area, but the courses can be selected from any grouping, and the number of students attending
each project team course may vary as the customer wishes.
The e-learning classes are appropriate for both project teams and end users.
This offer is intended to provide initial training to new CRM customers; organizations may find
they need additional training as their needs dictate.
Enterprise
Project Team
Event
SAPCRM
CR100
CR300
CR600
CR700

Course Title
SAPCRM mySAP CRM Solution Overview
CR100 CRM Base Customizing
CR300 CRM Sales
CR600 CRM Marketing
CR700 CRM Service

Interaction
Center
Event
SAPCRM
CR100
CR400
CR410
CR800
CR870

3
5
3
3
3

Project Team
Course Title
SAPCRM mySAP CRM Solution Overview
CR100 CRM Base Customizing
CR400 CRM Interaction Center WinClient
CR410 CRM Interaction Center WebClient
CR800 CRM E-Commerce
CR870 CRM Channel Management

Technology
Event
SAPCRM
CR555

Days

Days
3
5
3
3
3
3

Project Team
Course Title
SAPCRM mySAP CRM Solution Overview
CR555 CRM Technology

Days
3
5

E-Learning
SAP120
SAP130
CRM001

Event
SAP Navigation
Business Solutions Powered by SAP
Empower Sales, Services, and Marketing with mySAP CRM Solution (eLearning)

Days
4 hours
2 hours
6 hours

Hosting
Supported CRM Scenarios

Assumptions

E-Selling
Interaction Center
SFA
All landscapes are Wintel/Oracle
Sizing based on 50 – 100 users

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SAP-OR00790366

Offerings

Implementation Hosting
Landscape
CRM/Middleware Development Server
Internet Server/Communication Station Development
Server
200 GB Local Storage
VPN Connection
Pricing
$17,000/month
$ 3,000/one time
Available for contracts of 6-12 months
Application Hosting (assumes R/3 system remains at customer
site)
Landscape
CRM/Middleware combined development/QA server
Internet Server/Communication Station Dev/QA server
CRM/Middleware production server
Internet Server/Communication Station production server
330 GB Local Storage
VPN Connection (may require additional facilities based
on throughput)
Pricing
$25,000/month
$4,000/one time
Available for contracts of 24/36/48 months’ duration
Application Hosting (assumes R/3 system is also hosted)
Landscape
R/3 Development/QA server
CRM/Middleware combined development/QA server
Internet Server/Communication Station Dev/QA server
R/3 production server
CRM/Middleware production server
Internet Server/Communication Station production server
600 GB Local Storage
VPN Connection
Pricing
$37,500/month
$6,000/one time
Available for contracts of 24/36/48 months’ duration

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SAP-OR00790367

Chapter 3.0: Messaging
Siebel Safe Passage

3.1

Marketing Messaging Matrix (CIO/CFO)

Target
Audience

CIO/CFO

Key Business
Drivers

• Customers are paying a lot of maintenance money to Siebel/Oracle and not getting any
product enhancements in the near future.
• Oracle is forcing customers to move their solution to a new technology that is not as
open as their current system.
• You are no longer buying the experience of Siebel since much of their support, sales,
and pre-sales resources have left for SAP.

Key Messages

• We’ve been busy doing the right things for our customers. While Oracle has been
buying buying companies, SAP has been busy improving the product, hiring the best and
brightest in the industry, creating significant value for our customers.
• Reduce complexity, cost and risk now
• Plan strategic platform evolution to embrace SOA and achieve agility and
responsiveness to business dynamics
• Combine your multiple internal and external best-of-breed maintenance costs and
convert these into one strategic applications decision. Leverage the skills within your IT
organization to span your entire enterprise business solution and in developing new skills
to take advantage of web services and composite platforms.
• Build a strategic vendor relationship and maximize your applications investment
• Maintenance – spend it with a vendor that will guarantee a long-term return on your
investment, and one that is equipped with experts that are knowledgeable about the
applications you have deployed
• Ensure that your maintenance dollars will gain you improvements, enhanced functionality
and effective support/service.
• What is the lost opportunity cost and competitive advantage by doing nothing and waiting
for Project FUSION?
• Can you support dynamic business change with your current portfolio and are you willing
to be locked into dead-end solutions and the promise of an integrated platform in 5
years?
• Oracle has no history of integrating well with SAP; Fusion was focused on PeopleSoft,
Siebel, why would they focus on SAP.
• It’s time for you to reevaluate SAP and better understand what Tom Siebel meant by
saying, “Businesses are no longer interested in connecting standalone
applications and want integrated suites from a single vendor” and see the
value that SAP customers have experienced.

Proof Points

• Philips Consumer Electrics eliminated cost by retirement of their legacy systems by
$3.28 million
• Day & Zimmermann have reduced IT costs by eliminated costs for software upgrades
contributes $7.46 million in cost savings.
• Avid Technology’s Retirement of legacy systems by consolidating under a single
technology provider reduce IT operating budget by over $2.2 million
• Energie AG produced an annual savings of over €0.1 million due to a 63% reduction in
the costs of operating mySAP CRM over the legacy system it replaced
• BKW Saved of CHF 2.7 million (USD $2.13 million) via SAP-driven integration and b
insourcing their training resulting in a 75% reduction in training costs

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SAP-OR00790368

3.2

Marketing Messaging Matrix (LOB)

Target
Audience

Line of Business (LOB)

Key Business
Drivers

• You’re no longer getting enhancements to your solution. Oracle is focused on Fusion,
not product innovation and enhancement.

Key Messages

• We’ve been busy doing the right things for our customers. While Oracle has been
buying dying companies, SAP has been busy improving the product, hiring the best and
brightest in the industry, creating significant value for our customers
• Many of Siebel SAP customers, who purchased Siebel in the past, did before because
they thought Siebel had the functionality, ease of use, experience in the market, and the
resources to make changes with the market. This is a nice time for this to happen since
we are now coming out with the next release of CRM. We welcome the opportunity to
discuss with our customer base the new SAP
• Parity in CRM functionality, better UI, focus on industry
• It’s time for you to reevaluate SAP and better understand what Tom Siebel meant by
saying, “Businesses are no longer interested in connecting standalone
applications and want integrated suites from a single vendor” and see the
value that SAP customers have experienced.
• SALES
o With mySAP CRM, Perdigão improved access to customer information helps
customer service agents make better product recommendations and recover lost
sales from product returns, increasing sales contribution by $1.2 million
o Sterling Group: Centralized access to data enabled increased productivity among
Sterling sales representatives, resulting in contribution of $180,000
o Adidas: More detailed customer profiles on individual retailers have improved
adidas’ inside sales agents’ workflow, contributing over $922,000 in savings
o Cardinal Health, Medical Products and Services view into every aspect of a
customer record,
o Cardinal Health’s credit agents are turning around payments more quickly,
resulting in revenue contribution of $4.8 million with their mySAP CRM investment
o With mySAP CRM, Day & Zimmermann, the Yoh Exchange has helped sell more
of its managed staffing offering, contributing $1.7 million
o Tata Telecom, through mySAP CRM,order-to-delivery time has been reduced by
two days, a 3% increase that allows the company to book revenue sooner

Proof Points

• MARKETING
o By cleaning its customer lists with mySAP CRM’s campaign management
functionality, Waters’ chemistry operations saw a 50% increase in its direct mail
response rate
o Audi, increased targeting of direct marketing campaigns will result in more
qualified lead generation, a
o $2.8 million increase in revenue contribution
o With mySAP CRM, CJ now executes its 94 annual marketing campaigns inhouse, resulting in a total cost reduction of $839,000
• SERVICE
o IPSOA’s Interaction Center resolves an average of 94% of its 11,000 monthly
inbound calls in or under 2.3 minutes
o Through mySAP CRM a quicker access to customer data, Avid’s customer
service agents reduced average inquiry handling time by 25%
o A clearer view into customer profiles with mySAP CRM and interaction histories
resulted in 53,000 fewer abandoned calls for Villeroy & Boch, saving
approximately $180,500
o By streamlining its direct-to-consumer sales efforts with mySAP CRM, Philips
Consumer Electronics has reduced the volume of consumer complaint calls by
20%

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SAP-OR00790369

o BKW AG’s customer service representatives have improved access to customer
information, reducing costs by $2.45 million through productivity improvements
alone
o From the beginning, we wanted to select a CRM solution that would easily
integrate with our existing systems,” says Gerhard Naegele, project director,
Volkswagen Financial Services AG. SAP had already proven to us that it was a
strong partner. And the functionality, providing us a sustainable holistic view of the
customer, would integrate our touchpoints. It was a clear decision.- Stefan
Scholler, Head, Customer and Dealer Systems BKW’s long-standing relationship
with SAP, along with the anticipated cost, time and process benefits from working
with a single vendor proved the deciding factors for choosing mySAP CR - Roger
Schmid, BKW
o It is a very flexible system. With mySAP CRM, we are building a common
repository of customer information across all service centers. Furthermore, we
have put in place standard workflows and escalations which have improved
trackability, accountability and speed to resolve pricing or returns disputes. - Phil
Wollar, IT Applications Architect.
o By choosing mySAP CRM Internet Sales to enable the D2C business in-house,
we knew we would have more than a transactional capability – the functionality
would give us the opportunity to collect better insight about our consumers,” says
Warren Lavoie, Acting General Manager, Philips Consumer Electronics. “mySAP
CRM was a strategic choice,” says Jan Boll, CIO, Philips Consumer Electronics.
"Seamless integration with SAP R/3, a distinct infrastructure cost payoff and the
fact that the solution met customers’ information and functionality needs was
integral to the mySAP CRM choice.
o It was very clear that mySAP CRM was the right choice to meet our business
needs, and those of our customers. We needed a portal solution that would give
us a single, enterprise-wide view into the services we provided for customers, and
the information customers provided to us.”
-Anthony Bosco, CIO, Day &
Zimmermann
o One criteria for choosing mySAP CRM: "The CRM tool was not coming only to
support the operational activities of one area. It was coming to integrate
enterprise-wide channels. - Adhemar Hisashi Hirosawa, IT General Manager

3.3

Competitive Messaging Matrix
SAP Position

Siebel/Oracle Position

End of best-ofbreed

SAP’s 33-year heritage and
fundamental approach to building
applications has been consistently
based on supporting end-to-end
integrated business processes

Oracle’s applications software reputation is tarnished
by long-standing customer dissatisfaction, poor
software quality, and incomplete offerings.
Its current approach is simply a confederation of bestof-breed offerings under the Oracle brand.

Integration of
applications
and business
processes

Unrivaled expertise and decades of
experience in mission-critical
business processes and scalable,
functionally rich and high quality
applications

Integration has never been Oracle’s strength. Its
patchwork of best-of-breed solutions today is not
integrated. It delivers mismatched business process
flows, overlapping functionality and incompatible
architectures. Case in point: Oracle has 3 competing
CRM solutions to sell and another one to support.

Strategic
applications
platform
decision

SAP NetWeaver is available today
The company has articulated a clear
roadmap for customers with ESA,
and SAP is generously investing in
R&D to deliver business value and
technology innovation to its
customers.

Oracle has nothing to offer its customers today
except a promise – from a vendor with a shoddy
reputation for keeping its promises in the applications
software space.

SAP’s domain expertise in business
processes will be increasingly made

Project FUSION was slated for initial release in 2008
(prior to the Siebel purchase) and will be delivered
over several years. It is a high risk proposition and
fraught with uncertainty. In fact Larry was unable to
even explain it coherently during the financial analyst

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SAP-OR00790370

available to customers and ISVs in
the Enterprise Services Repository
and through the evolution of SAP
NetWeaver as a business process
platform

Cost reduction
& ease of
doing business
with one
vendor

conference call.

Consolidation of best-of-breed
solutions will deliver savings in
integration, maintenance, etc.

Oracle today is basically a holding company.
Customers need to deal with multiple sub-companies
within Oracle, and with that structure comes multiple
pricing and maintenance agreements, several
support and service contracts, and many people in
many organizations to address issues.

Can customers afford the opportunity cost waiting 5
years before making progress on their strategic
applications platform, while continuing to pay
maintenance for dead-end solutions? (ORCL
maintenance is 22% vs. 17-20% avg.)

SAP is the only vendor that can
successful fulfill the promise of one
integrated solution from one vendor
today.
Ease of doing business with one
vendor, one platform, one license
agreement, one maintenance
contract, and one global support
organization – ultimately one vendor
accountable for the customer
success.

Minimize risk
with trusted
partner

#1 leader in business applications
software with more than 30 years of
experience in applications software

Delivering 40% margins means drastic cuts within
Siebel – translating into less Siebel expertise and
resources to support customers and enhance the
CRM solution.
Also, Oracle is likely to increase SEBL maintenance
fees to 22%.
Oracle has failed repeatedly in its many attempts to
penetrate the ERP/CRM/SCM applications market.
The Oracle Applications User Group is often at odds
with Oracle and has publicly aired its grievances over
poor software quality, missed release dates, lack of
support, etc.

Trusted partner supported by an
organization of 32,000 in more than
50 countries.

The current strategy is not a new one. In fact, Oracle
has been down this path before in CRM with no
success, at its customers’ expense:

With 12 million users, 96,400
installations, and more than 1,500
partners, SAP is the world's largest
inter-enterprise software company
and the world's third-largest
independent software supplier

3.4

With this model, costs in fact may increase for
customers. As resources and support dwindle for
acquired products, customers may need to increase
their investments and resources to maintain, integrate
and extend their solutions.

• Call Center: Versatility (8/98)
• Configurator: Concentra (11/98)
• Field Service:
o Tinoway (4/99)
o Geodan (6/99), (Oracle Scheduler)

Key differentiating scenarios

End-to-end
Order to Cash

What can SAP offer that
Siebel can’t
• Order Fulfillment - ATP,
source, deliver, bill and
collect payment
• Inventory Management
• Integration to Financials Credit Management,
Billing and Invoicing
• Order Status Tracking
• Special Pricing/Discounts
• Contract Management

Benefit to LOB

Proof Point

•

•

•
•

Minimize lost revenue with
recommendations for
product substitution for out
of stock inventory
Increase customer
satisfaction with on time
delivery commitments
Reduce cost of sales reduce order processing
time/cost, improve order fill

•
•
•

Waters
Corporation
Engen
Petroleum
Rohm &
Haas
Petro
Canada

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SAP-OR00790371

E-Commerce

•
•

Fully-Integrated B2B and
B2C E-Commerce
Complete Order-to-Cash
Processes Over the Web

•

•
•

Service
Contract
Management

•
•
•

Asset
Lifecycle
Management

•
•

End-to-End
Returns
Processing

•

Trade
Promotion
Management

•

MRM

•

•
•
•

Warranty
Refurbishment
Orders

•

Service Contract Planned
Services
Service Contract Billing
(integrated to financials)
Service Contract
Revenue Amortization
and Recognition
In Depth Financial
Accounting and
Depreciation of Assets
Asset Tracking with Full
Integration to ERP to
Track, Maintain, and
Manage Installed Base
Automated Processing of
Complete Returns
Process, from warranty
check to RMA
processing, to integration
with logistics for quantity
checks and delivery
confirmation
Accruals Planning and
Forecasting
Trade Promotion
Settlement and
Processing

•

Marketing Forecasting
and Planning
Marketing Asset
Management (DAM)
Brand Management

•

Automatically Generate
Refurbish Order for
Returned Item

•
•

•
•
•

•
•
•
•

•
•
•

•
•

rate and reduce transaction
costs
Increased customer
convenience and
satisfaction with 24/7
access
Provides a single face to
customers across
interaction channels
Increase revenue and
market reach, while
reducing cost of sales and
support
Increased uptime, with
SLA-based preventative
maintenance
Flexible billing
Accurate revenue
recognition of service
contracts
Accurate asset depreciation
for improved asset
management and
accountability
Increased Asset Uptime
Greater Asset Utilization

•
•
•

Mascot
Phillips
Consumer
Electronics
Canada Post

•
•

Avid
Waters

•
•

Fuji Xerox
Olympus
Japan

Decreased costs from
process efficiencies
Fewer goodwill allowance
credits

•
•

Dorma
Symbol
Technologies

Increase planning and
foresting accuracy
Increase visibility of
promotion activities and
ROI
Prevent over payment of
settlements
Develop optimum
marketing strategy
Centrally manage lifecycle
and distribution of all
marketing collaterals
Increase brand equity with
more effective brand
planning and monitoring
Reduced service costs
Decreased processing time

•
•
•

Conagra
Nestle
Kimberly
Clark
Colgate
General Mills

•
•
•
•
•
•

•
•

Kimberly
Clark
Colgate
Brother
General Mills

Pioneer
Europe
Sony
Computer

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SAP-OR00790372

Service /
Interaction
Center
Integration
with HR
Distributed ECommerce
(Channel
Commerce)

•
•
•
•

Field Service Integration
with HCM
HR Help Desk (EIC)
Integration with HCM

•

Multi-Partner Storefront
Distributed Order and
Inventory Management

•

•
•

Sales
Operations
Planning

•
•

Channel
Inventory
Management

Ability to Tie Sales
Forecast to Demand
Planning –
Leverage sales trending
to optimize the supplier
network

• Channel Inventory
Management
• Price Protection

•
•
•

•

•
•

Budget
Management
with
Integration to
Financials
Closed Loop
Lead
Management

3.5

•
•
•
•

Flexible Budget
Management
Integration to Financials –
Liability Linked to GL

•

End-to-End Lead to Order
Processes
Tie Actual Revenue to
Campaign Activities

•

Objection handling
Objection

We just spent “x” $$’s implementing Siebel.
There’s no way we can even think about

•

•

Provide real-time access to
personnel details such as
skill level and availability,
without involving HR
specialist
Increase customer
satisfaction through ability
to order products and
services across the entire
demand network
Incorporate partners into ECommerce strategy
Improve order fill rates
while reducing inventory
and operational costs
Enhance the quality and
accuracy of your sales
forecast
Ensure inventory levels to
support forecast
Leverage customer
demand data to anticipate
and negotiate optimum
pricing with your suppliers
Lowers operational cost by
enhancing production
planning through increased
insight into channel
inventory
Move inventory more
quickly
Reduces risk through
insight into cost/benefit of
various price protection
scenarios
Ensure accurate incentive
accruals and payouts
Track liability in General
Ledger to ensure safe,
conservative accounting
Measure the ROI of
marketing investments
Gain insight into the
effectiveness of sales
efforts

•

Entertainmen
t
Siemens

•

VW eParts

•

Bosch
Rexroth
Molex
IPSOA

•
•

•
•

Texas
Instruments
AMD

•
•

Siemens
SAP

•
•
•

Avid
Waters
Siemens

Response
That’s understandable. That said, perhaps we could
just open up a dialog that allows you to at least

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SAP-OR00790373

replacing it right now.

We’ve already made the investment to
integrate Siebel with SAP. Getting it from SAP
at this point would not be that valuable.

I understand why my IT folks would prefer to go
to SAP, but what does that really buy me.

Would it make sense for me to consider
implementing SAP for one segment of CRM
such as Marketing or Call Center if I’m
committed to staying on Siebel for SFA (or
whatever the combination might be)?
We don’t take orders directly with Siebel and
would not expect to with SAP. Given that, how
valuable would the integration really be?

We looked at SAP when we bought Siebel and
our users just didn’t like it. It didn’t seem as
functionally rich but more importantly, they
didn’t like the User Interface. It just did not look
that useable.

One of the reasons we went with Siebel for
CRM was the historical support we’ve received
from our own IT staff related to SAP. We could
not afford that level of responsiveness for CRM
which is a much more dynamic model.

explore the possibilities and better prepare you if your
situation changes, including further clarification from
Oracle in terms of their plans for CRM. In addition, we
believe that SAP customers get superior value from
their CRM implementations because of SAP’s focus
on end to end, industry-specific business processes.
We have our value engineering organization or
strategic partners who could come in and work with
you to understand if you could get more value by
moving to the SAP CRM solution.
I believe you will find that point-to-point integrations
are far less functional and value oriented than a true
end-to-end integrated platform. And of course, Tom
Siebel has suggested the same thing regarding this
acquisition. Not to mention that those integrations
will need to be changed as either or both ends of the
integration (SEBL, SAP) are upgraded.
When SAP talks about leveraging your investment in
SAP, we don’t just mean leveraging the technology.
In fact, we believe there is far more value in
leveraging the customer insight that is stored in your
back office that can be readily applied to your
customer facing activities. Areas such as customer
profitability and payment history or real-time product
availability. All of this is critical to understanding the
real value of your customers and products. In
addition, there are key processes that initiate in the
front office but use critical processes in the back
office. The ability to move not only information but
processes seamlessly back and forth within your
enterprise have given some of our customers huge
competitive advantages.
Absolutely. In many cases, real-time availability of
back-office data can provide more value than realtime integration between CRM functional areas.
Given the opportunity to better understand your
requirements, we can help you assess the pros and
cons of such a scenario.
At the highest level, SAP customers have benefited
from their CRM implementations in two areas: 1)
Business process integration which includes Orderto-cash as one among many and 2) A common
platform for areas such as portals, business
warehouse, and knowledge management . Another
integrated process examples could include skills and
availability matching between Human Resources and
Field Service.
I can understand that. Our early releases of CRM
were much more focused on the integrated platform
using similar tools. The most recent releases have
focused extensively on the end user experience and
our customers and analysts have validated our
efforts. We would welcome any opportunity to reengage with your user community so they can see for
themselves firsthand.
We understand that the demands for CRM can be
more dynamic and flexible than most back office
applications. A few comments on that point: 1) for
the most part, the front-end tools available to
customize our CRM applications are far more flexible
than those generally used to run our back-office
applications and 2) we would be happy to work

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SAP-OR00790374

Can I speak to one of your customers to
validate what you’re telling me?

What can SAP do for me if I’m using Siebel
On-Demand?

3.6

directly with you and your IT staff to share and
recommend best practices in terms of supporting our
application and 3) the implications of most changes in
CRM are far less dramatic than changing back office
applications such as Finance and Inventory which
should help in creating a more responsive support
structure.
Of course. The best thing at this point would be to
set up an appointment with one of our CRM experts
to best determine your prioritized requirements in
order to identify the most relevant reference for you.
rd
In the meantime, a number of 3 party validated ROI
reports are available on sap.com. Please review
some of those reports they are an excellent indication
of how our customers use SAP CRM and gain
tremendous business value.
The first thing we’d like to understand is what the
motivation was for you to choose OnDemand rather
than an on-premise solution to begin with. i.e. Price,
resources, timing, etc. It may be that the advantages
of our on premise integrated platform over a
standalone CRM solution are dramatic enough to revisit that. Otherwise, you may have read that SAP
will be announcing a similar offering as well under
certain conditions. Once we can better understand
your requirements and motivations, if an off premise
solution still makes sense, we can arrange to have a
more detailed conversation about that.

Fact or Fiction
Topic

Siebel Upgrade

Fact
Far less than 90% of Siebel customers have upgraded
to Siebel 7. Siebel will tout that a customer integrated to
v7 if only 1 instance for any customer was upgraded.
Example - X has 7 or 8 Siebel instances, but only 1
'customer service number' (CSN). Only 1 or 2 of X's
instances has been upgraded, but Siebel still touts this
as a v7 upgraded customer.
Customers using a version lower than v7.5 should
consider going off support in the next 3 years. (Gartner,
Moaz) Why? 7.0 was Siebel's move from client-server
to the internet. 7.0 was very unstable and 7.1/.2/.3 were
basically bug fixes. 7.4 was a bit more stable but still
didn't deal with major technical problems of the release.
Customers using 7.4 today have fixed the symptoms,
but not the problem. Customer who deployed v7.5 had
the symptoms resolved already, but now also took on
the challenge to resolve architecture problems.
This was a major effort to get off v7.4. Customer that
have moved to 7.8 are probably fairly committed to
moving to v8 (coming out in Jan 06).

Oracle/Siebel
Fiction

Siebel states that
'90%' of its customers
have upgraded.

A customer using a
version between 7.0
and 7.4 will find it
easy to go to 7.5.
The move is a no
brainer.

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SAP-OR00790375

SAP interviewed the analyst community and found:
While positioning it as a positive for Oracle, in terms of
gaining CRM market share, functionality and access to
new industries, most analysts were less enthusiastic
about the outcome for Siebel customers.

Customer
Satisfaction

Meshing Oracle &
Siebel Culture

Siebel
References

Integrated Suite
versus BoB

Buy versus Build

In a Gartner study Siebel clients stated their: inflexibility
in negotiations and during the scoping phase of
contracting, failure to listen to customer requirements
and goals, the attitude that the customer should learn
from Siebel about the customer’s business, poor
ongoing customer support, too little effort with Siebel
CRM OnDemand. (Gartner, Siebel Systems’ New
Direction a Key Test for CEO, October 8, 2004)
AMR said, “For Siebel and its customers, this acquisition
offers a graceful exit strategy.”
Larry Ellison is not shy in speaking of his rocky
relationship with Tom Siebel. ``Tom has said some
unkind things about me,’’ Ellison acknowledged when
asked about their relationship. ``I’m a big boy, I can
handle that.’’ Ellison added that he, too, has said some
things about Siebel in the press. ``I forgot all about that.
All that is water under the bridge now.’’ On Wednesday,
Ellison said he believed Siebel’s experience would be
very valuable at Oracle for the ``next few years.’’
Siebel may have a few references integrating to Oracle;
in efforts to position SAP as inferior it will do its best to
exploit the ease and low cost to maintain the interfaces.

Siebel does have some customers integrating via ‘pointto-point’ interfaces to SAP although analysts confirm
they can not provide any references. Or should we say
Siebel doesn’t want to provide any references because
this disproves Siebel’s claim that ‘integration is the easy
part’.
Oracle says it intends to create a separate, dedicated
CRM sales force to sell the Siebel applications. This
may be a good idea in terms of short-term revenue
opportunities, but it may be counterproductive as a longrange strategy because fewer customers want to buy
standalone CRM applications (hence the reason Siebel
became available). – AMR Research
As early as 1997/1998 Meta (now owned by Gartner)
published reports arguing that the CRM decision point is
no longer predicated on feature/functionality, but is all
about “fit” into the enterprise-side technical architecture.
In fact, given all these strategic integration backbones
(especially SAP’s NetWeaver), at some point soon this
will all become a play for infrastructure since
(oversimplifying) the applications will essentially “plug
and play.”* --Former Meta analyst
Larry Ellison has changed his tune on his ‘buy versus
build’ philosophy. Oracle as of late is taking a buy

The Oracle
acquisition is a
positive for Siebel
customers.

Siebel is easy to work
with and listens to its
customers.

Siebel customers are
committed to sticking
with Siebel apps.

Larry likes Tom, Tom
likes Larry and they
will work well
together.

Oracle has many
customers that are
integrating to Siebel
and that are
referencable.
Siebel has many
customers integrating
to SAP and can offer
references.

Oracle sells an
integrated suite of
applications.

CRM buyers view
feature/function as
the most important
buying criteria.

Larry Ellison is
committed to

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SAP-OR00790376

Industry

Oracle & CRM

Technology &
Infrastructure

Project Fusion

versus build an integrated suite approach. Not so long
ago Larry Ellison disparaged Siebel’s buy strategy
saying, “Could we have caught up with Siebel any
faster? Sure. All we had to do was buy a bunch of
companies like they did. But we wanted to stick to our
product strategy of an integrated suite built on top of a
common database. The only way to get one of those is
to build it from scratch…” Larry went on the say “Writing
Checks is easy. Writing software is hard.” It ends up
Larry is taking the easy way out!
Forrester states, "Oracle’s industry vertical strategy is
one of the weakest in the industry, with vertical
enhancements incorporated into Oracle’s horizontal
product in a piecemeal fashion that often fails to deliver
the desired business result."
Gartner said, "Oracle's development organization is not
known for good support of CRM applications, and will
require changes to keep Siebel's worldwide user base."

Wookey head of product development openly admitted
at Oracle Open World, "The acquisition of Siebel
Systems Inc. (SEBL) will benefit Oracle Corp.'s (ORCL)
ambitious software redesign - called project 'Fusion' but integrating Oracle's numerous customerrelationship-management software products will be a
challenge. I think CRM is going to be one of the more
challenging areas," Wookey said during a question-andanswer session with reporters at Oracle's OpenWorld
conference. "I think that is going to be the product area
that is going to have the longest [time] in terms of active
development.".
Gartner and Oracle concur: Gartner said, “Siebel
customers running on IBM’s WebSphere or Microsoft’s
.NET technology should be concerned about how that
will be supported in the future.” Oracle’s Charles
Phillip’s confirms that Charles Phillips, however, in a
separate session, said many features in Oracle’s
applications have been written specifically to take
advantage of proprietary features in the Oracle
database, making the inclusion of DB2 in Project Fusion
difficult.
Selling Oracle databases to the installed base was a key
rationale for all of these acquisitions.

Fusion will be a nightmare; going from v6 to 7 was a
nightmare and the customer will re-live this dreadful
experience re-implementing Project Fusion. Gartner

‘building’ an
integrated suite of
products, which
includes CRM.

Oracle is committed
to developing
industry applications.
Oracle has a good
CRM product that
has gotten
momentum in the
market. Oracle's
CRM product is wellrespected. Oracle
understands CRM.

Oracle is not
concerned about its
ability to in a timely
and comprehensive
manner assimilate
CRM functionality
from 4 distinct
product lines.

Siebel customers
running on IBM’s
WebSphere or
Microsoft’s .NET
technology will not be
forced to move to
Oracle DB.
Oracle is not
purchasing
companies knowing
that a huge revenue
stream will come
from forcing
customers to convert
to Oracle technology.
Fusion is a simple
upgrade.
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SAP-OR00790377

Support &
Maintenance

confirms: Lee Geishecker, research-VP at Gartner,
penned an article in ComputerWeekly concerning
Oracle’s Enterprise Business Suite (EBS) and Project
Fusion. Users of E-Business Suite, Enterprise and
Enterprise One will all have some migration challenges
in moving to applications built as part of Oracle's Fusion,
Geishecker said, adding that the transition to
applications built as part of Fusion will be easiest for
EBS customers. “Thus, new customers should choose
Enterprise Business Suite if possible.” Migration will be
a substantial project, whatever the starting point and
“customers will need to check Oracle's achievements
rather than rely on promises,” Geishecker said. “In
addition, we expect there will be some sort of ‘upcharge’ to move to Fusion applications.”
Forrester's interpretation of what will be included in
Project Fusion in regards to bringing functionality from
it's collection of best-of-breed and industry functionality
rich products is: Oracle must translate Java flexibility
into compelling applications like wealth management,
merchandising, and complex telco provisioning to bring
the architecture to life — deliverables that probably
won’t make the first release of Project Fusion... As
PeopleSoft found in its 7.x to 8.x and Vantive CRM
upgrades (and Oracle found in its own move from
Oracle 10.7 to Oracle 11i), moving to a new
infrastructure — even from one code set — is never
easy.
Forrester said, "We believe that acquisitions in the
applications sector have more inherent product
technology risk, given the need to rewrite products to
have a common look and feel, common architecture,
common programming tools, etc. Product Fusion is
intended to provide this integration and convergence,
but further acquisitions could add to the complexity and
effort required and could increase the risk of market
disruption if customers begin to hold off purchases
waiting for the new products."
Oracle will renegotiate Siebel customers maintenance
based on list price and apply the Oracle maintenance
fee of 22% (versus Siebel's 15 or 20%).

Oracle fails to even define what life-time support for its
'dead' products means. Speaking to Computer Weekly,
Patricia Dues, president of the OAUG, said, “Maybe the
lifetime support is a better idea. But we need to see
more details.” She called for Oracle to define what
lifetime support means for users, detail the level of
technical assistance available and publish the cost of
REDACTED
lifetime support.

If Siebel does
become part of
Oracle Fusion all of
Siebel's rich industryspecific functionality
will be put in Fusion.

Integrating Siebel into
Fusion will not
interfere with its 2007
delivery.

Siebel customers can
remain on Siebel's
maintenance
program with out an
extra cost burden
from Oracle.

Siebel customers will
receive 'lifetime'
support.

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SAP-OR00790378

Forrester Research analyst Paul Hammerman said,
“There is going to be apprehension from Siebel
customers because Oracle has been so vocal about its
next-generation product strategy. ...Users will have to
watch out for release support schedules - companies
with older releases will be forced to upgrade to current
releases [such as Siebel 7.5 and beyond] and the
maintenance cost structure could change. ...Siebel
users would also be concerned about whether Oracle
would be able to match the functionality of Siebel."
(Enterprise software Siebel users face tough choices
Computer Weekly, 20.09.05)
Oracle's customers using the 'dead' products will pay
exorbitant maintenance on a product with no future.

Siebel customers will
not be forced to
upgrade to newest
releases.

Oracle maintenance
is a 'good' spend for
customers.

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SAP-OR00790379

Chapter 4.0: Marketing Activities
Siebel Safe Passage

4.1

Target Segment Profiling

Priority 1:
Role: CIO and LOB (Sales, Service, Marketing)
System Landscape: In the US this is the 273 current SAP back office customers that have
Siebel.
Industry: All
Company Size: All
Priority 2:
Role: LOB and CIO
Industry: CP, HT, and IMC
System landscape: JD Edwards and PeopleSoft customers running Siebel CRM
Company Size: $750 million
Priority 3:
Role: LOB and CIO
Industry: CP, HT, and IMC
System landscape: Customers running Siebel CRM with legacy back office
Company Size: $750 million
Priority 4:
Role: LOB and CIO
Industry: Media, Utilities, Service Provider, Oil & Gas, Chemical, Automotive, Telco, Public
Sector, and Life Sciences
System landscape: JD Edwards and PeopleSoft customers running Siebel CRM
Company Size: $750 million

4.2

Preliminary Marketing Mix Guidance & Calendar

Awareness
Advertising

Public /
Analyst
Rela ions

Events

Partner comarketing

Demand Gen

Online

Sales
Enablement

Marke ing
offers

TeleMktg /
Sales

X

X

X

x

X

X

X

X

x

Page 28

SAP-OR00790380

Siebel Safe Passage Program
Integrated Marketing Communications plan -- strawman (M. Tetlow; Sept. 25)
Oct. 24
Oct.31
Nov. 7
Nov. 15 Nov. 22 Nov. 28 Dec. 5
Dec. 12

Tactic

w/o
Oct. 10

AR/PR

Announcement then on-going

Oct. 17

Advertising

#1
#1

Dec. 26

Print media--general business, IT and marketing verticals

DM
Email

De. 19

#2
#2

#3
#3

McD

Webevent
Landing Page
(rich site)
Telemarketing
(inbound and outbound)

AR/PR, online advertising, search engine mktg, dm, email -- drive to this site; data capture here

DM/email, print advertising, webcast can drive to inbound #; outbound follows-up DM and Email drops

SAP.com
(special page
links, Value Calculator,
Demo -- each should have collateral download registration)

Drive to Landing Page for data capture
Online Advertising
and Search
(banners, links, buttons, sponsorships)

4.3

Rationale and Flow of Tactics

Target Audience: See playbook for specifics; Primary Target is Siebel customers with
SAP backend; Secondary target; JDE/PSFT customers with Siebel.
1. AR/PR and media advertising provide thought-leadership messages and should
increase awareness of SAP as CRM vendor as well as reinforce SAP positioning as
enterprise platform. AR/PR can more explicitly describe the Siebel Safe Passage
Offering, too. Advertising can carry an 800# and sap.com address.
2. DM and Email: DM to those for whom we have no email address nor opt-in
permission. DM and email are intended to: 1) spur a call from the CIO to set up a
meeting. It will make the Safe Passage offer (credit, free assessment, training) to
motivate quick action. Drives to Landing Page, 800# inbound tele, and/or sales rep.
Also DM/email #1 invites target to Webcast featuring B. McDermott and SAP
customers (former Siebel customers). DM/email to primary audience should come
from McDermott. DM/Email #2 reminds target of webcast (that week) and outlines
Safe Passage Offer again, driving to landing page for secondary offer (white paper or
Value Calculator or demo). DM/Email #3 drives to second webcast, outlines offer
and drives to landing page for secondary offer (third-party authored paper, analyst
report, more details on Safe Passage offer).
3. Web Events: Webcast should follow-up DM/Email #1 by 2 weeks; have registration
and follow-up with thank you and secondary offer. Provide 800# pre and postwebcast. Webcast #1 is McDermott with SAP Customers (former Siebel customers).
He should mention the Safe Passage Offer and provide 800#, too. Webcast #2 -should focus on the advantages of SAP's ESA relative to CRM (if we can do this in a
very simple, user friendly way)
4. Landing page is a program-specific, rich content "microsite" for this program.
This is the heart of this program. This is where ALL tactics drive TO and it's where
most data collection occurs. Should contain links to relevant areas on sap.com as
well as interesting content -- including 3rd party authored articles, papers that support
our claims as well as full content of the Safe Passage Offer.
5. Telemarketing: Inbound and outbound call guides should be prepared. Inbound
calls will come from: Advertising (which is general), AR/PR (which can be Safe
Passage specific), DM/Email, Webcasts, and sap.com.
Outbound calls should follow-up DM/email drops (sales reps should call primary

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SAP-OR00790381

target audience), follow-up to webcast attendees.
6. Online advertising, search, sponsorships: This is the most efficient way to drive
responses and traffic to the landing page and to sap.com. Online advertising can
include banners (which will also reinforce the awareness/perception messages),
buttons and links (to landing page); Search can drive to the rich landing page.
7. sap.com: Should have a dedicated area to Siebel Safe Passage program and link to
the rich landing page. CRM Value Calculator and Demos should have download
registration pop-ups for data capture and should drive to rich landing page upon
completion. Leads/completes (VC and Demos) should get follow-up call.

4.4

Summary Table of Program Activities

Summary of Planned Marketing Activities for US
Activity

Comments

Program Specific Announcement for Internal
SAP (SMI) (Dependent on Press Release date)
Executive Direct Mail to joint SAP/Siebel
Accounts supported by Field Call Blitz
CFO/CIO target w/Bentley ROI Report &
webcast (Launch Oct. 10) Agency Briefing
Packet
Executive Email
LOB Mailer to Director & above
Sales/Marketing/Service contacts (Launch Oct.
17)
LOB Email

Available for Oct 17th launch

Program / Webcast Announcement on
SAP.com

TBD (Dependent on Press Release Date)

Online Promotion of Webcast

TBD(Dependent on Press Release Date)

SAP Flash

TBD (Dependent on Press Release Date)

Webcast Tele Recruitment Featuring
McDermott, Bentley & Win against
Oracle/Siebel
Webcast Email Follow-up, Determine Audience

Nov 10

Follow-up to Attendees & No Shows Routed to
Sales or Tele?

Available for Oct 17th launch

Oct 10
Oct 17

Oct 17

Nov 14

Nurture Plan - Offer Analyst White Paper,
Assessment, etc.
Webcast replay available via SAP.com

Nov 9

Bentley Customer Reference Conference Call

Nov 15

ASUG 10/9-12 (Keynote, ROI Report &
Webcast Post Card in booth) Phoenix

Oct 9-12

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SAP-OR00790382

SAP Business Forums (Keynotes, CRM & Safe
Passage Sessions) Dallas, Chicago, Hunting
Beach & Miami
Gartner CRM Summit (Vendor Presentation,
ROI Report & Postcard in booth) San Diego

Oct 11, 12 & 27

Gartner ITXpo (Vendor Presentation, ROI
Report & Postcard in booth) Orlando

Oct 16-21

CRM Executive Vision Events (Messaging)
Charlotte & San Fran

Oct 4, Nov 10

Advertising: Banners, white papers, search,
print, wrappers, etc.

TBD ( see marketing strategy)

4.5

Oct 31-Nov 2

Telemarketing Contact Strategy

Summary of Telemarketing strategy for US
Wave 1 – Tele Strategy
Direct Mail / Email

Outbound Call by AE

Set Appt*

Inbound 800

Web Register / Prequal

Webcast Invite*

Acct Closed*

Register for Webcast

AE Follow-up*

Webcast TY

Register
for
Webcast

Pass to
IAE

Pass to AE
& CRM
NOW

Pass to CRM NOW*

* Where is this info captured?

Yellow – Marketing
Green – Sales
Red – Sales Advantage

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SAP-OR00790383

Wave 2 – Tele Strategy
Direct Mail / Email

Inbound 800

Recruitment & Prequal
by BDE

Web Register / Prequal

Reg for Webcast

Vmail

Acct Closed

Register for Webcast

IAE Follow-up

Webcast TY

Register
for
Webcast

Pass to
IAE

Pass to AE
& CRM
NOW

Pass to AE & CRM NOW

* Who will be conducting calls?

Yellow – Marketing
Green – Sales
Red – Sales Advantage

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SAP-OR00790384

Chapter 5.0: Tactical Guidance
Siebel Safe Passage

5.1

Program Content Deliverables
Deliverable

Messaging for IT discussion
Messaging for LOB discussion
Fact or Fiction (Competitive Positioning)
Sales Scenarios (FAQ Objection Handling)
Sales Scenarios Decision Tree
External PowerPoint pitch to customers - IT
External PowerPoint pitch to customers - LOB
References - identify SEBL replacements,
create success stories, sound bites
SAP wins against SEBL - create document
Create tri-fold template with high level value
prop and industry facts
Create Telesales script for SAP backend
Prioritize Industries and Create Messages

5.2

Status
done
done
In process
In process
In process
In process
In process
In process
In process
In process
In process
In process

Sales Tools
Asset

Siebel Battlecard North America
Siebel Analytics Sales Reference Guide
CRM Competitive Guide

SMART Link
http://smart.sap.corp:1080/smart/media.asp?v=
27466
http://smart.sap.corp:1080/smart/media.asp?v=
46001
http://smart.sap.corp:1080/smart/media.asp?v=
27477

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SAP-OR00790385

5.3

5.4

Competitive Summary

Siebel Win Backs

Adidas
Adobe
Advantech
AEM
Agrium
AMD
ASML
Bentley Systems
Bombardier
Caterpillar Inc.
Correos
Dean Foods Company
Degussa (E.on)
Deloitte Consulting
Diageo

Replacement
Yes
Yes
Yes
Yes

Yes
Yes
Yes
Yes
Yes
Yes
Yes
Yes

Country
DE
US
TW
IT
CA
US
Netherlands
US
Canada
US
Spain
US
Germany
US
EMEA

Reference Status
Undetermined
Undetermined
Undetermined
Undetermined
Undetermined
Undetermined
Undetermined

Undetermined

Active Reference
Undetermined

Page 34

SAP-OR00790386

Ericsson
Gas Natural
Johnson & Johnson
Vision Care
Kellog's
Mentor Graphics
Corporation
NextiraOne
Orkla/Lilleborg
Rand Water
Roche
Rockwell Automation
Royal Mail
RWE
Samsung
Siemens
Tecan
T-Mobile
Vistakon
Vitro
Volkswagen/ Audi
Warner Bros.
Entertainment Inc.
Wien Energie
Wienstrom GmbH

Yes
Yes

SW

Undetermined

Yes

US

Undetermined

Yes

US

Undetermined

Yes

US

Do not use

US
NO
US

Yes
Yes
Yes
Yes
Yes
Yes
Yes

US
UK

DE

Yes
Yes

US
DE
MX
DE

Yes

No
Undetermined
Undetermined
Undetermined
Undetermined

Active Reference
Undetermined
Active Reference
Undetermined
Undetermined
Undetermined

US

Yes
AT

Active Reference

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SAP-OR00790387