AP.) SAP and Lufthansa Sign New Outline Agreement Lufthansa Doubles Its Investment in SAP Software
FRANKFURT, Germany and WALLDORF, Germany, Jan 13, 2000 (BUSINESS WIRE)
-- Following negotiations led by its central purchasing department,
Deutsche Lufthansa AG has inked a comprehensive agreement with SAP AG
(NYSE: SAP)that more than doubles its current investment in SAP(TM)
software.
Representatives of the Lufthansa group and SAP met in Frankfurt today
to sign the agreement, which not only outlines Lufthansa's further
deployment of SAP software, but also forms the basis for the future
business partnership between the two companies.
Ulrich Kuntzel, head of Lufthansa's central purchasing department,
said, "We are delighted about this deal. Together, we have not only
created a pragmatic and flexible agreement that fulfills the varied
requirements of individual users in the group, but we are stating that
SAP and Lufthansa both have a responsibility for the development of
total cost of ownership for all applications."
Lufthansa has been using SAP software since 1981, when it deployed the
SAP R/2(TM) mainframe system. In 1995, Deutsche Lufthansa AG's
executive board selected the SAP R/3(R) software suite as the strategic
solution for all business and administrative tasks within the Lufthansa
group.
Since then, almost all of the R/2 system has been upgraded to R/3.
Lufthansa and Lufthansa Cargo use R/3 for their financial operations in
more than 100 locations worldwide. Lufthansa subsidiary Lufthansa
Technik uses the SAP Aerospace and Defense(TM) industry solution and
participated in the development of this solution as a pilot customer.
In 1996, Lufthansa Systems' SAP Customer Competence Center (CCC) became
the first SAP customer in the world to receive the SAP CCC
certification. Lufthansa Systems, among others, developed an
industry-specific R/3 financial accounting solution for the Lufthansa
City Center travel agencies. Similarly, Lufthansa Revenue Services
deployed the SAP development environments to design a solution for
airlines' revenue accounting systems.
The increasing globalization, decentralization and expansion of the
Lufthansa Aviation Group, combined with intensive use of the extended
SAP functionalities, led to the new agreement. It outlines the use of
SAP licenses and software maintenance services as well as the
fulfillment of SAP CCC functions at Lufthansa. It also forms the
contractual basis for the use of SAP products such as the SAP Business
Information Warehouse(TM) (SAP BW(TM)) and the SAP Advanced Planner and
Optimizer(TM) (SAP APO(TM)).
Dr. Bernd Voigt, CIO for Lufthansa, said, "The extension of our
investment is based on our good experiences with SAP business
solutions. Furthermore, we believe that the products offered by SAP are
forward looking in particular in terms of their openness to Internet
applications."
In the future, more than 15,000 Lufthansa employees -- of whom 10,000
will be at Lufthansa Technik -- will use SAP software at more than 20
R/3 installations. Lufthansa's catering company LSG Sky Chefs is also
planning to rollout R/3 for its operations in Europe and Asia. The
migration of the central R/2 human resources applications to R/3 is
planned for 2001.
Various Lufthansa companies, together with SAP, are currently advising
other airlines on the use of SAP software. Lufthansa is also
participating in the mySAP.com Internet marketplace with InfoFlyway,
its online sales system.
Wolfgang Kemna, managing director of the SAP German organization, said,
"One of the major goals of our developments in recent years has been
the delivery of industry-specific software solutions that can be used
by all employees in a company. The fact that Lufthansa envisages having
up to 100% of their employees in certain divisions working with SAP
software, confirms that we are on the right course."
SAP, R/2, R/3, SAP Aerospace and Defense, SAP Business Information
Warehouse, SAP BW, SAP Advanced Planner and Optimizer, SAP APO and all
SAP product and service names herein are trademarks or registered
trademarks of SAP AG.
Other product and company names herein may be trademarks of their
respective owners.
FRANKFURT, Germany and WALLDORF, Germany, Jan 13, 2000 (BUSINESS WIRE)
-- Following negotiations led by its central purchasing department,
Deutsche Lufthansa AG has inked a comprehensive agreement with SAP AG
(NYSE: SAP)that more than doubles its current investment in SAP(TM)
software.
Representatives of the Lufthansa group and SAP met in Frankfurt today
to sign the agreement, which not only outlines Lufthansa's further
deployment of SAP software, but also forms the basis for the future
business partnership between the two companies.
Ulrich Kuntzel, head of Lufthansa's central purchasing department,
said, "We are delighted about this deal. Together, we have not only
created a pragmatic and flexible agreement that fulfills the varied
requirements of individual users in the group, but we are stating that
SAP and Lufthansa both have a responsibility for the development of
total cost of ownership for all applications."
Lufthansa has been using SAP software since 1981, when it deployed the
SAP R/2(TM) mainframe system. In 1995, Deutsche Lufthansa AG's
executive board selected the SAP R/3(R) software suite as the strategic
solution for all business and administrative tasks within the Lufthansa
group.
Since then, almost all of the R/2 system has been upgraded to R/3.
Lufthansa and Lufthansa Cargo use R/3 for their financial operations in
more than 100 locations worldwide. Lufthansa subsidiary Lufthansa
Technik uses the SAP Aerospace and Defense(TM) industry solution and
participated in the development of this solution as a pilot customer.
In 1996, Lufthansa Systems' SAP Customer Competence Center (CCC) became
the first SAP customer in the world to receive the SAP CCC
certification. Lufthansa Systems, among others, developed an
industry-specific R/3 financial accounting solution for the Lufthansa
City Center travel agencies. Similarly, Lufthansa Revenue Services
deployed the SAP development environments to design a solution for
airlines' revenue accounting systems.
The increasing globalization, decentralization and expansion of the
Lufthansa Aviation Group, combined with intensive use of the extended
SAP functionalities, led to the new agreement. It outlines the use of
SAP licenses and software maintenance services as well as the
fulfillment of SAP CCC functions at Lufthansa. It also forms the
contractual basis for the use of SAP products such as the SAP Business
Information Warehouse(TM) (SAP BW(TM)) and the SAP Advanced Planner and
Optimizer(TM) (SAP APO(TM)).
Dr. Bernd Voigt, CIO for Lufthansa, said, "The extension of our
investment is based on our good experiences with SAP business
solutions. Furthermore, we believe that the products offered by SAP are
forward looking in particular in terms of their openness to Internet
applications."
In the future, more than 15,000 Lufthansa employees -- of whom 10,000
will be at Lufthansa Technik -- will use SAP software at more than 20
R/3 installations. Lufthansa's catering company LSG Sky Chefs is also
planning to rollout R/3 for its operations in Europe and Asia. The
migration of the central R/2 human resources applications to R/3 is
planned for 2001.
Various Lufthansa companies, together with SAP, are currently advising
other airlines on the use of SAP software. Lufthansa is also
participating in the mySAP.com Internet marketplace with InfoFlyway,
its online sales system.
Wolfgang Kemna, managing director of the SAP German organization, said,
"One of the major goals of our developments in recent years has been
the delivery of industry-specific software solutions that can be used
by all employees in a company. The fact that Lufthansa envisages having
up to 100% of their employees in certain divisions working with SAP
software, confirms that we are on the right course."
SAP, R/2, R/3, SAP Aerospace and Defense, SAP Business Information
Warehouse, SAP BW, SAP Advanced Planner and Optimizer, SAP APO and all
SAP product and service names herein are trademarks or registered
trademarks of SAP AG.
Other product and company names herein may be trademarks of their
respective owners.
