BASF IT Services has signed a five-year partnership deal with SAP that will allow it to offer SAP software licences as part of a complete human resources services package.
The move is expected to increase the number of small and medium sized businesses implementing SAP software for payroll services, personnel administration, time management, company pension accounting and other human resources functions
Both SAP and its arch-rival Oracle have been seeking to expand their mid-market sales channels as sales of business software to SMEs have begun to outstrip sales to bigger companies.
Under the partnership arrangement, BASF IT Services customers will pay a monthly rental fee, based on the actual number of SAP software components used.
Peter Lügger, head of BASF IT Services' human resources services unit, said, “For non-BASF Group customers, who do not use SAP software and as such do not have SAP licenses, this partnership makes it possible to offer our HR services far quicker because the question of licences no longer needs to be resolved.”