SAP seeks to cut 80% of your data management work

SAP is pitching its Business Data Cloud (BDC) as a key differentiator for customers seeking data-driven innovation.

The platform, which offers a “zero copy” mechanism that enables SAP customers to perform data modeling without moving data outside the SAP environment or having to copy data into SAP from external sources, now offers native integration with Databricks, enabling customers to also access a range of machine learning, data science, and AI capabilities within SAP.

“Recently, SAP has released various applications that generate high-quality business data, and implementing trustworthy AI based on this is a key strategy,” said Irfan Khan, president and chief product officer of SAP Data and Analytics, at a press conference held in Seoul on July 15.

In explaining BDC’s technical features and differentiating factors, Khan described a “flywheel effect,” SAP’s strategy to create a circular engine that leads to data generation, trust-based AI implementation, AI and data integration, and business value creation.

Launched in February, BDC is a SaaS-based data platform that embodies this strategy, said Khan, who directly led its development. BDC integrates and organizes SAP and non-SAP data based on meaning, and is designed to accommodate not only SAP but also third-party data, he stressed. Data collected and integrated by BDC can be used to fuel AI agent functions or SAP’s digital assistant, Joule. “There are few products that have received as much response as BDC,” Khan said.

According to Khan, the strength of BDC is that it can automatically align and synchronize various data sources without ETL or data pipeline management. This will allow customers to reduce the collection, refinement, and quality control tasks that typically account for more than 80% of the overall data management function, and instead focus more time on AI model training and application, he said.

SAP also supports a “BDC Everywhere” strategy, which enables BDC to operate seamlessly in various cloud environments such as AWS, Google Cloud, and Microsoft Azure. “Open access is essential because 70% of our customers have non-SAP data,” Khan said. “We have worked with Databricks to create a structure that allows data to be freely exchanged.”

Khan also introduced AI use cases centered on BDC at the symposium. For example, SAP applications have various AI agents built in, such as the “dispute resolution agent” for accounting and the “shipment confirmation agent” for logistics; these agents are organically connected to form a single integrated workflow, he said.

“Most platforms are well-equipped with machine learning and AI libraries, but they often lack valuable data,” said Khan about SAP’s strengths over its competitors. “SAP is differentiated in that its data and applications are organically connected.”

He added: “Except for Oracle, SAP is virtually the only company that possesses both an application portfolio that spans all areas of the business and massive amounts of data.”

According to Khan, this foundation enables SAP to “organically connect BDC, agents, and AI to provide integrated solutions to customers.”

Khan also shared his views on the Korean market’s transition to the cloud at the symposium.

“Korea is a market with a very high level of understanding and technical expertise in on-premise,” he said, but pointed out that “an overly developer-centric mindset can slow down the transition to the cloud.”

“It is important to recognize the cloud as an opportunity, not a risk,” he added. “In order to respond to these technological changes, academia and universities must play a key role and support the talents entering the field to emerge equipped with the latest technological capabilities.”

SAP plans to accelerate data-driven AI innovation by expanding intelligent applications, strengthening partnerships, and improving multilingual support in the future, Khan said, including official availability of BDC in Korea at the end of July.