SAP Africa at a Glance by Mariette du Plessis

SAP Africa at a Glance Global Corporate Affairs July 2014

Helping the world run better SAP is at the center of today’s technology revolution, developing innovations that not only help businesses run like never before, but also improve the lives of people everywhere. Headquartered in Walldorf, Germany, with locations in more than 130 countries, SAP SE is the world leader in enterprise software and software-related services helping companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organisations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable more than 261,000 SAP customers to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com/africa

SAP’s Vision Our vision is to help the world run better and improve people’s lives. SAP can play a major role in transforming the way that business is run. We help companies of all sizes deliver superior customer experiences, empower their workforce, optimise resources, and leverage the power of the networked economy, while simultaneously improving the lives of the people that it touches. Collectively, our strategy, mission, and vision present SAP with the opportunity to reshape the IT industry by simplifying the way that technology is consumed, adopted, and used.

SAP’s Mission Our mission is to make every customer a best-run business. This includes not only delivering solutions and services to help customers succeed in the current environment, but also providing innovations that anticipate the challenges, opportunities, and changes to come.

Africa Growth Plan •• SAP Africa’s Vision is to become the preferred supplier of business software solutions for Africa, thus contributing to Africa’s sustainable growth and globalisation. •• The objective of the African Growth Plan is to quadruple revenue from Africa by 2020. •• The focus of the African Growth Plan is on five SAP market categories, namely applications, analytics, cloud, mobile, and database/technology in the following key industries: Energy & Natural Resources, Financial Services, Public Sector, Telecommunication and Infrastructure

Fastest Growing Economies in Africa •• Sierra Leone (20.0%) •• Nigeria (11.0%) •• Cote d’Ivoire (8.2%) •• Angola (8.1%) •• Ethiopia (7.8%) •• Rwanda (7.7%) •• Ghana (7.5%) •• Eritrea (7.5%) •• Zambia (6.7%) Source: http://www.africastrictlybusiness.com/quick-access-key-economic-and-industry-facts-and-figures

SAP Africa Company Highlights

SAP Worldwide Customer Facts

•• SAP’s first presence in Africa began in 1982 and is currently headquartered in Johannesburg, South Africa. •• In 1989, the South African SAP distributorship was established under the title of Sapient Systems. •• In 1992, SAP AG purchased Sapient Systems and SAP Southern Africa (Pty.) Ltd. (a wholly owned subsidiary of SAP AG) was established. •• SAP has presence in 51 countries in Africa through five regional hubs namely: Southern Africa, East Africa, West Africa, Francophone and Lusophone regions. •• SAP has a customer footprint of over 1 300 in Africa across all industries. •• Voted the 2014 Top Employer in South Africa by the CRF institution •• SAP employs approximately 704 employees in Africa. •• SAP Africa today has a total of 256 accredited partners. •• To date, SAP has a total of 8 000 certified SAP professionals

•• 80% of SAP customers are SMEs •• 86% of SAP customers include the Global Fortune 500 •• 78% of SAP customers produce the world’s food •• 82% of SAP customers produce the world’s medical devices •• 86% of SAP customers produce the world’s athletic footwear •• 74% of SAP customers produce the world’s transaction revenue touches an SAP system

SAP customers include

98%

of the 100 most valued brands

100%

SAP Worldwide General Business (former ecosystem and channels) SAP worldwide has more than 11 700 partners. The biggest percentages are represented by the following categories of partners: •• 4 500+ channel partners (incl. distributors) •• 3 200+ services partners •• Almost 2 000 software solution and technology partners •• 1 200+ OEM partners •• 1 000+ platform partners •• Of these, almost 1 100 partners have joined us to make our Cloud strategy a reality

of the Forbes top scoring sustainability companies

For more information: www.sap.com/africa or globalcomm.africa@sap.com

Africa Interesting Facts •• Speaking more than 2,100 languages and spanning 54 countries, 52 out of the 54 countries in Africa each comprise 1 million people. •• Key sectors driving growth are telecommunications, banking, retail, construction, agriculture and resources. •• 80 percent of Africa’s combined GDP currently emanates from Algeria, Angola, Cameroon, Egypt, Ethiopia, Kenya, Libya, Morocco, Nigeria, Senegal, South Africa, Sudan, Tanzania, Tunisia and Zimbabwe. •• Africa’s population hit the 1 billion mark in 2010, with annual growth rates at 2.0 percent and 1.6 percent in Northern and Southern Africa, respectively; 2.5 percent and 2.7 percent in Western and Middle Africa, respectively; and the African average at about 2.4 per cent. •• By 2020 top consumer markets will be food and beverages,housing, non-food consumer goods, health care, telecommunications, banking and education. •• SMEs (small and medium-size enterprises) are responsible for roughly 40 percent of GDP and 50 percent of jobs on the continent. •• Africa has the fastest growing telecoms market in the world, with 316 million subscribers in only 10 years. •• Mobile innovation in Africa has fostered a new generation of technology entrepreneurs. •• In West Africa, 75 percent of agriculture-related firms are micro or small enterprises, 20 percent are semiindustrial and 5 percent are industrial. Employees are typically family members, and 50 percent to 90 percent are women. •• Nigeria, the number of payments made by mobile phone more than doubled to 2.4 million in the first half of 2012 from the same period a year earlier, while Internet payments rose 9.3 percent, according to the country’s central bank. •• South Africa produces three-quarters of the world’s platinum, 40 percent of chromium and more than 15 percent of gold and manganese. •• Angola has been one of the four biggest recipients of Chinese financing for infrastructure projects. It supplies 51 percent of China’s oil imports from Sub Saharan Africa. •• Ethiopia and the Ivory Coast are expected to be the fastest growing African markets for millionaires, with growth of 7.4 percent a year until 2020. Zambia, Ghana and Angola are also expected to grow strongly. Source: http://www.africastrictlybusiness.com/ quick-access-key-economic-and-industry-facts-and-figures

SAP Market Categories & Facts Generic solutions cannot address industry-specific challenges. That’s why there is no such thing as a generic industry solution from SAP. Each of our industry portfolios is based on an in-depth knowledge of the processes that drive your business, whether you’re running a small business or midsize company or a large enterprise. Combine world-class SAP software with our industryspecific best practices – along with proven value management methodologies and tools – and you’ll do what you do best, even better.

Africa Focus Industries Consumer Products

Retail, Wholesale, Transport, Ports, Rail, Airlines, Telecommunications

Energy & Natural Resources

Oil and Gas, Mining, Utilities

Financial Services

Banking, Insurance

Public Sector

Tax & Revenue Services, Social Security and Data Management

Some of SAP Reference Customers in Africa Consumer & Services:

Shamas Motor Spares, Toyota, Bidco Oil Refineries, Crown Berger Kenya, Consol Glass, Distell, Dis-Chem, Pick ‘n Pay Retailers, Rainbow Farms, South African Breweries, The Plastic Warehouse, Antarc Furnishers, Kenya Ports Authority, Sameer Africa, Transnet Freight Rail, Transnet National Ports Authority, Transnet Rail Engineering, Nashua Communications, Konica Minolta, Telkom, ESSAR Telecommunications, Media24, Multichoice

Financial Services

Development Bank of Southern Africa, Industrial Development Corporation, Nedbank, Standard Bank of South Africa, Old Mutual, Sanlam Life

Public Services

Netcare Management, South African National Blood Service, Desmond Tutu Foundation, City of Cape Town, Mauritius Revenue Authority, Nampower (Namibia), South African Revenue Services, African Union Commission, Gauteng Provincial Governments, City of Johannesburg, Ghana Extractive Transparency Initiative, Water Utilities Corporation (Botswana), Rural Electrification Authority (Kenya)

Energy & Natural Resources

Engen Petroleum, Nigerian National Petroleum Corporation, Sasol Group Services, Global Oceon Engineers, Nigerian National Petroleum Corporation, Anglo American Platinum, Exxaro Resources Limited, Impala Platinum, Konkola Copper Mines, Lonmin Platinum, Samancor, Trafigura, Xstrata South Africa

SAP Market Categories Cloud

Mobile

Database

Analytics

Applications

Education & Skills SAP University Alliances

Education Objectives

SAP University Alliances opens up the world of SAP to hundreds of thousands of students at more than 1500 universities and schools in more than 80 countries worldwide. Not only do member institutions get access to a vast repository of ready-to-use curriculum materials but also to SAP solutions, software and tools in technology areas such as ERP, Business Analytics, Mobility, In-memory Computing, Cloud Solutions and more. Members collaborate via the global SAP UA Portal, where news and new offerings are regularly posted. Furthermore, students and lecturers also gain access to an ever-expanding range of exciting opportunities to engage with one of the world’s leading technology companies by, for example, doing co-innovation and research, enter competitions and/or attending events. Available career opportunities for recent graduates are made available to SAP UA member universities’ students. SAP Africa to date has: •• 22 training centres including EFESA (Enterprise Systems Education for Africa) across the continent that offer a full suite of education courses and certification designed to empower customers and partners. •• A total of 12 university partners in Africa affiliated to the SAP University Alliance programme.

SAP education and skills objectives are to: •• create sustainability and employability in Africa, •• grow the SAP footprint, and •• bridge the skills gap through our education and training programmes.

Skills for Africa •• The ICT sector continues to be the major economic driver in Sub Saharan Africa. The downstream multiplying effects is that every $ spent on ICT puts $1.25 back into the African economy. •• The shortage of skilled ICT labour is a major hindrance to growth and development of the IT Industry. •• The Skills for Africa Programme is tailored to train individuals with limited social access to help them become employable. •• SAP, through its customers, partners & other ICT Organisations work together to provide SAP certified training with specialisations certification. •• The programme was launched in East Africa in 2013, and targets approximately 75 university graduates annually. •• The programme will be expanded to West Africa and Angola in 2015.

SAP Africa Innovation Centre Pretoria SAP’s global research and innovation network includes more than 800 collaborators and partners from industry, academia, and governments as well as SAP customers. Part of this global innovation network is the SAP Innovation Centre in Pretoria. SAP Africa believes that Innovation with a purpose has the ability to make a significant and positive impact on the African continent. Collaboration between SAP Africa and the SAP Innovation Centre in Pretoria is guided by the SAP Africa Growth Plan, which determines the priority African countries and industry sectors on which the Innovation Centre Pretoria concentrates. The various needs and challenges from an African context are continuously addressed by proposing innovative solutions including, amongst others, the development of business models, and uses cases, proof of concepts, prototypes and patents. The objectives of the SAP Innovation Centre Pretoria are two-fold: Firstly, it aims to facilitate innovation in Africa through engaging in co-innovation initiatives with key partners and customers. Secondly, it aims to address social and business challenges in Africa through technology innovations. The focus is: Innovation in Africa for Africa! The SAP Innovation Centre in Pretoria currently has a number of interesting innovation projects which, amongst others, include the following: BiYP and CoSMoS. •• The BiYP (Business in Your Pocket) project focuses on developing mobile-cloud solutions that enable very small business owners in Africa to easily manage their businesses through cloud services. •• The CoSMoS (Context Sensitive Mobile Services) project focuses on developing a mobile application development framework that supports the building of context-aware applications. •• Other interesting outputs of the SAP Innovation Centre in Pretoria include, amongst others, an app addressing the worldwide problem of unregistered new borns, as well as a solution facilitating the blood donation process in South Africa. The SAP Innovation Centre in Pretoria is also running a Private Public Partnership (PPP) initiative with the Department of Science and Technology of the South African government. The main objective of this initiative is to promote and develop advanced scarce skills in the IT sector and in particular in the area of Innovation.

Corporate Socio Economic Development & Responsibility At SAP, we see an opportunity to use our technology, employee skills and capital to help improve people’s lives worldwide. SAP’s CSR mission is to empower underserved youth and support entrepreneurs in emerging markets. CSR is focused on three areas: •• Engage talent in a continuum of volunteer engagement opportunities •• Leverage technology through technology donations for emerging entrepreneurs and non-profits, helping to level the playing field. •• Provide capital that supports underserved youth and emerging entrepreneurs. In 2013, we strategically invested more than €15 million in non-governmental and non-profit organisations throughout the world.

Impact of our CSR initiatives In 2013, our corporate social responsibility programmes enabled more than 1 300 non-profits through SAP’s technology donation programme, and activated more than 120 000 employee volunteer hours with 50% of those being skills-based volunteering.

Recent global CSR investments •• SAP has developed a number of new social investment initiatives to support education and emerging entrepreneurship to successfully drive sustainable economic growth, innovation and job creation. •• SAP is in the second year of its three-year, €2 million commitments to Endeavor Global, Endeavor Brazil and India’s National Entrepreneurship Network (NEN), organisations focused on emerging entrepreneurs. •• SAP’s Social Sabbatical is in its third year. This programme introduced in early 2012, gives key talents the opportunity to provide their expertise to organisations working in the areas of education or entrepreneurship in Brazil, India, China,South Africa and Kenya. The programme will now be expanded to Colombia and two other new locations. •• SAP continues to support the skills development and certification for young people. In mid-2013, SAP announced a partnership with New York Department of Education (DOE) and City University of New York to create a six-year programme in which students will gain a high school diploma, associate degree and real-world experience. •• In 2013 SAP launched Skills for Africa to train 2 500 students in IT skills, providing support for education and emerging entrepreneurs. A pilot programme started in Kenya with the first 70 students graduated. The programme will now expand to other locations in Africa. SAP Africa and the World Bank also announced their intention to develop a framework for collaboration on IT skills development.

Recent CSR investments in Africa •• SAP Month of Service: October is the annual global SAP month of service and employees across Africa undertake volunteer initiatives across the continent. These activities take place in partnership with selected NGOs and communities. •• Siyafunda Community Technology Centres: 54 Centres in South Africa that provide access to the Internet as well as training and development for underserved communities. The initiative has won several global awards for excellence including the Clinton Global Initiative, the eINDIA Initiative and the Inyathelo Philanthropy Award. •• FIRST LEGO League: SAP employees mentor and coach children between the ages of 9 and 16. Teams are taught how to program a robot and how to develop and research robotic performance skills. •• Science Centres in South Africa (Johannesburg, Cape Town and Durban): In addition to providing funding, SAP encourages employees to undertake volunteer projects throughout the year. SAP also funds the skills development of mentors and coaches from disadvantaged communities through these centres •• Social Sabbaticals: SAP employees selected as global top talents are given the opportunity to spend 35 working days in a country outside of their home country, giving back to underserved communities.

www.sap.com/africa South Africa Regional SAP Headquarters SAP Africa (Pty.) Ltd. Johannesburg SAP Business Park 1 Woodmead Drive Woodmead South Africa SAP Africa (within SA) Tel: 0800 981334 SAP Africa (outside SA) Tel: +27 11 235 6045 Fax: +27 (11) 235 6001 SAP Africa (Pty.) Ltd. P.O. Box 1621 Gallo Manor 2052 South Africa

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