SAP's strategy of focusing on multiple types of delivery supports the needs of UK business, says Tim Noble, managing director of SAP UK & Ireland.
The strategy of delivering applications on-premises, on-device and on-demand was unveiled at SAP's Sapphire customer and partner event held simultaneously in Orlando and Frankfurt in May.
UK research shows companies will shift gradually to a mix of in-house, mobile and cloud-based applications, Noble told attendees of the UK leg of the SAP World Tour 2010 in Birmingham.
In the face of economic uncertainty, SAP believes organisations are moving towards cloud and mobile solutions as they recognise the cost and business benefits of the new delivery methods.
The biggest ever attendance of the Sapphire and World Tour events is an indication that businesses understand the value of strategic investment in IT, said Noble.
On-premises software deployments will fall 20% to 51% within three to five years, according to an SAP survey of 250 chief information officers in UK companies with 1,000 or more employees.
The share of on-demand implementations will increase 11% to 28% and on-device will increase 8% to 21%, the survey revealed.
This indicates a definite shift, but just over half will still be on-premises and SAP plans to be able to continue to support that, said Noble.
Customer-centric innovation is the core principle of SAP strategy, said Sanjay Poonen, executive vice-president and general manager SAP business and LoB solutions.
The goal of SAP is to take care of everything behind the scenes, to provide the backbone and nervous system to enable companies to focus on core business, he said.
On-premises, on-device, on-demand, and seamless orchestration of all of these are the four pillars on which SAP's strategy is based, said Poonen.
Another key strategy for SAP is to focus on industry-specific analytics solutions as the firm believes this will be the next wave of demand, he said.