CHICAGO, Ill. - February 23, 2004 - SAP AG (NYSE: SAP) today announced the availability of new industry-specific solutions for small and midsize manufacturing companies, extending its leadership as a provider of manufacturing solutions for an even broader range of companies, from small manufacturers to mid-market companies to the world’s industry leaders. With new mySAP™ All-in-One micro-vertical industry solutions and a new relationship for SAP® Business One to serve small and midsize manufacturers, SAP and its partners are uniquely positioned to address the needs of the entire business ecosystem for manufacturing companies, fostering new levels of efficiency, collaboration and growth for manufacturers, their customers, partners, suppliers, parent companies and subsidiaries. The announcement was made at the National Manufacturing Week event, being held Feb. 23-26, in Chicago, Illinois.

SAP’s two-tiered product offering for small and midsize businesses (SMBs) -- SAP Business One and mySAP All-in-One solutions -- recognizes the diverse IT and business requirements of manufacturing companies of varying sizes, resources and complexity. SAP® solutions for SMBs are designed to be affordable and easy-to-implement for small manufacturers, and are delivered through SAP’s partner network.

New Micro-Vertical Manufacturing Solutions with mySAP All-in-One
In 2003, SAP and its network of qualified business partners introduced 120 new manufacturing solutions, including specialized offerings for fabricated metals, construction equipment and civil works, and agro-products companies. SAP and its partners currently offer 180 mySAP All-in-One solutions for manufacturers globally, based on industry best practices from SAP’s more than 30 years of experience serving the world’s leading businesses.

To meet the needs of custom manufacturers, U.S.-based N2 Consulting has leveraged its expertise as an SAP consultant to develop FastTrack, a pre-packaged, fixed-price and timeline mySAP All-in-One solution that can be implemented in as few as 16 weeks. Spanning the engineering, quality, sales and service, and finance functions for small and midsize companies, FastTrack is an end-to-end, complex manufacturing solution to manage processes such as make-to-order with product configurator, engineer-to-order, engineering change management, service management and make-to-stock.

Additional new mySAP All-in-One solutions include BDO para Agroalimentos, offered by SAP partner BDO for agro-products companies in Mexico. The solution helps companies manage purchasing, production, bulk delivery and sales administration processes specific to the manufacture of products for the agricultural industry. For high-tech manufacturers, South Korea-based BizTech Consulting Co., Ltd., has introduced the BizExpert solution, with industry-specific capabilities such as electronic manufacturing system management, bin management and multiple planning scenarios.

Based on mySAP Business Suite, mySAP All-in-One solutions are designed for small and midsize businesses with a high degree of industry-specific requirements. The solutions leverage SAP’s proven vertical-industry technology, adapted and delivered by SAP partners to help customers efficiently manage micro-vertical industry processes ranging from automotive supply to food processing. Pre-packaged with built-in content, tools and methodologies for a cost-effective, turnkey deployment, mySAP All-in-One delivers best practices to midsize companies in affordable, easy-to-implement solutions.

SAP Business One for Manufacturers
SAP designed SAP Business One to meet the core management needs of dynamically growing small and midsize businesses, and is moving to better address the specific needs of small manufacturers through a planned strategic solution relationship with SoftBrands, an established global leader in manufacturing management systems. Recognizing the need of small and midsize manufacturers for the types of powerful, integrated solutions usually reserved for larger manufacturers, the companies have initiated efforts to integrate SoftBrands’ Fourth Shift product with SAP Business One. Fourth Shift is a proven manufacturing solution with broad functionality that facilitates critical business functions and delivers measurable operational results.

The integration of Fourth Shift Manufacturing Edition with SAP Business One will give small manufacturers comprehensive and easy-to-use capabilities for managing a variety of manufacturing processes. Designed to enable a rapid deployment schedule and fast return on investment, the solution will enhance capabilities in SAP Business One to serve repetitive, batch, make-to-order, discrete and mixed-mode manufacturers, as well as those that are on the path to lean or demand-driven operations. The relationship with SoftBrands will also extend SAP Business One with Fourth Shift’s Lean Enterprise Automation integrated module, a powerful solution for managing lean manufacturing operations. The solution will be offered through SAP Business One partners worldwide.

“Manufacturing companies have weathered the economic downturn and are now poised to seize on opportunities for growth,” said Hans-Juergen Uhink, senior vice president, Global Field SMB, SAP. “With our selection of affordable, easy-to-implement solutions, SAP and its partners offer SMBs proven technology, unrivaled industry expertise and the ability to increase efficiency across the entire business ecosystem to maximize competitive advantage and growth.”

About SAP Solutions for Small and Midsize Businesses
SAP is the world’s leading provider of business software solutions and is committed to enabling seamless business processes connecting small and midsize businesses (SMBs) to their partners and customers. Nearly half of SAP® software installations worldwide are for SMBs. Delivered through a comprehensive network of qualified, professional partners, SAP distinct solutions for SMBs -- SAP® Business One and mySAP™ All-in-One -- are affordable, easy to implement and scalable to grow with business needs.

About SAP
SAP is the world’s leading provider of business software solutions. SAP® solutions are designed to meet the demands of companies of all sizes -- from small and midsize businesses to global enterprises. Powered by the SAP NetWeaver™ open integration and application platform to reduce complexity and total cost of ownership and empower business change and innovation, mySAP™ Business Suite solutions are helping enterprises around the world improve customer relationships, enhance partner collaboration and create efficiencies across their supply chains and business operations. The unique core processes of various industries, from aerospace to utilities, are supported by more than 25 industry-specific SAP solution portfolios. Today, more than 21,600 customers in over 120 countries run more than 69,700 installations of SAP™ software. With subsidiaries in more than 50 countries, the company is listed on several exchanges, including the Frankfurt stock exchange and NYSE under the symbol “SAP.” (Additional information at http://www.sap.com)

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