About technology’s contribution in enabling more sustainable business models
Arguably, the word that best sums up our societal experience of disruption and learning over the past two years is resilience. As we adapt, we transform, very quickly to be able to build sustainable business models that can adapt to the ever-changing environment we live in. Technology plays a key role in businesses transformation, as the choice of the right platform not only allows reporting and transparency but also provides flexibility to drive new sustainable business models in a scalable and profitable way.
With 50 years of history and more than 425,000 customers, SAP has a special place at the forefront of what is happening in the world in terms of transactions, whether it is travel, supply chain, operations or business management, SAP very quickly has an input on what is happening. The core of SAP's business is still based on engineering skills, skills that united its founders. When thinking about how to build sustainable models, SAP goes back to engineering to build technologies that enable those models. When exploring new business models, companies should consider how technology can help improve their business processes. How can emerging technologies contribute to business sustainability? SAP is committed to answering this question for customers.
Claudio Muruzabal, president of SAP’s Cloud Success Services, shines a light on the fundamental importance of technology in bridging the capability gap to help run companies more sustainably. At the end of the day, this is SAP’s mission – to help the world run better and improve people's lives with a promise to innovate, helping customers to run at their best. This includes providing technology solutions and services that allow businesses of all sizes and industries to innovate and realize their sustainability goals.
“We at SAP, see the role of technology as a catalyst to adapt to the changing environment” – says Claudio – “Not only for our 425,000 customers globally but more so due to our role in touching more than 80% of the world transaction revenue through an SAP system. What we all learned in the last two years and more recently, is the need to be resilient. And this is where emerging technologies can help improve business processes for flexible, agile, adaptation”.
Technologies based on The Cloud are increasingly enabling the resilience described by Claudio. The Cloud transformation has unlocked tremendous value and unparalleled visibility across business operations. Moreover, Cloud technologies are enabling integrated digital business networks and data-driven insights that allow for immediate actionable access to stakeholder sentiment and typically result on reducing costs associated with core business processes.
Bridging the gap between business and IT is therefore a key success factor for sustainability strategies. This means sustainability needs to be on CEOs agendas, who, in turn, need to work hand-in-hand with IT to enable the necessary capabilities and bring strategy to life.
For Claudio, the next step in building a new sustainable business model is to listen to the voice of customers. Bringing the views of key stakeholders, including not only the customer but also the customer’s customers and their employees, into the business model.
Additionally, Claudio reflects on the importance of ESG governance as a critical component in bringing sustainable business models to life. Technology can make it possible to measure footprint and sustainability indices in the same way that companies measure financial returns.
Finally, Claudio focuses on the importance of linking companies' ESG strategies to the SDG goals. For SAP in particular, the 17th goal 'Partnership for goals' is of paramount importance. Individual companies, organisations or governments cannot do everything on their own. Cooperation, as emphasised by other speakers, is essential.