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"The Mendocino project extends the reach of MySAP processes into the desktop and will provide consistent information in Office and MySAP," said Jeff Raikes, Microsoft group vice-president information worker business.
"It brings consistent information in Office and MySAP so you know you have the right information in the right place at the tight time."
Raikes said the new product would be an "add-on" to Microsoft Office and MySAP. It will improve collaboration and content management, and allow companies to build client and web-based solutions based, he added.
One example of how the software might work is for a worker using Microsoft Outlook to submit a holiday request from their calendar through a SAP process embedded into Outlook.
Raikes said a large amount of information is wasted or lost in a typical business, or held in silos on individual employees' hard drives. The integrated software will counter that, he said.
"People become reliant on waiting on each other instead of being responsive. The net result is that you have lost time on all those information workers collectively."
Mendocino has been developed to support Netweaver and .net. It will be sold and supported by SAP and Microsoft, the companies said.
Microsoft heralds start of 64-bit revolution with Win x64 launch