Skip to content

Enterprise software, read for what it costs and who signs for it.

ERP programmes

Some SAP board members told Klein to build only on OpenAI. He refused.

SAP CEO Christian Klein told diginomica this week that members of his Supervisory Board pushed him three years ago to stand the whole company on one model vendor: "There were people in my Supervisory Board who told me three years…

ERP LEADERS news desk · · First reported by diginomica.com · Edition no. 3
Photo: Vladislav Bezrukov from Walldorf, Germany/Wikimedia, CC BY 2.0 · original

SAP CEO Christian Klein told diginomica this week that members of his Supervisory Board pushed him three years ago to stand the whole company on one model vendor: "There were people in my Supervisory Board who told me three years ago, 'Let's bet the whole company on OpenAI.'"

He did not do it. Klein said it is sometimes worth holding your own opinion and strategy rather than following what everyone tells you.

What SAP runs instead, in his words: "We have agents which have seen in the meantime five different models because we see that not one model always delivers the best outcome."

SAP says it can move a workload onto a different model inside a day, according to diginomica, and shifts to open-weight models when they match the frontier ones at lower total cost.

Klein said buyers increasingly ask for the total cost of ownership of tokens, because they can see token spend running away. OpenAI is not quoted in the piece.

Two things are worth separating. Redirecting an inference call is a technical change. Swapping the model under a live ERP process also means regression testing, audit evidence and revalidating the controls built on the old one.

How long would that second version take in your organisation?

Sources

Spotted an error? Tell us. Every correction is logged on Standards.

Your reading room

Companies in this story

Our file on SAP

  1. 20 SeptFiled later

    SAP's chief executive said voice replaces much data entry in three years.

  2. 19 SeptFiled later

    KPMG cut jobs in its SAP and AI teams. Partners averaged £880,000.

  3. 17 SeptFiled later

    Broadcom raised VMware prices by 10x or more, European cloud providers say.

  4. 17 SeptFiled later

    Grocery Outlet's SAP launch cut gross margin by almost 2 points.

  5. 11 SeptFiled later

    Zeiss dropped the clean rebuild of its SAP after about €200 million.

All 18 SAP stories

Every story here is open to read. The ERP LEADERS brief goes one step further.

One ERP programme per issue, laid out for a steering committee. Issue 01 is the Zeiss case. Read issue 01 or sign up for the brief.

Founding reader

Welcome back. · Issue 01

1 comment under this story on LinkedIn. Read the discussion

Keep reading

The ERP LEADERS brief Get issue 01