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Maximizing Social Value: SAP Delivers New Solution for Social Benefits

Germany Feb. 21, 2011 SAP AG

In spite of reduced budgets or deficits, governments around the world are responsible for delivering timely and responsive social services. At the same time, citizens expect service comparable to that of the private sector with fast reaction times, a high degree of transparency and individual attention. Demographic change, increasing life expectancy and the inadequate retirement funds of many citizens also pose a great challenge to many public budgets. The solution from SAP automates many complex resourcing and payment processes of social service collections and delivery, providing a single integrated view of the citizen and helping ensure the right intervention is delivered at the right time, cost-effectively helping each citizen to be a more active member of society.

SAP delivered in Innovations 2010 SAP® Customer Relationship Management SAP® for Public Sector

Continuous Case Management for Monetary Services

With the new software package from SAP, the business process for appropriating monetary services allows social service case workers to manage cases in a continuous, automated way. As soon as an applicant has filled out a request form — electronically at a terminal, via Web, Interactive Voice Response (IVR) or paper-based — it is automatically entered into the system then displayed in the user interface for the case worker. After automated checks, the software makes recommendations for further processing steps, requests necessary clarifications to the information provided or even suggests rejection based on user-defined parameter.

As soon as all requested information has been checked and approved, the solution generates a "service plan" that documents for the applicant the social services awarded and the underlying reasons. The software also delivers a "service overview" that details the type, amount and period for approved monetary or non-monetary services for the respective social program. Once a case worker has approved the service plan, the case is validated and payment is triggered to the applicant.

Transparency and Automation for Well-Founded Decisions

During the entire process, the SAP software supports case workers involved in handling a case via greater transparency, and in a central location they can electronically see the information about the applicant documented by the solution, the status of processes and the basis for calculations and decisions depending on the case worker’s role. Functionality from SAP CRM helps ensure comprehensive case processing, relieves the case worker of time-consuming manual processing and delivers key information to support well-founded decision-making.

Integrated functionality for "net calculations" and downstream payment processes helps ensure that possible payment obligations to the agency by the applicant or other payment reductions to the service claim from other social programs are taken into consideration. The software also conducts remittance of monetary amounts to make a corresponding entry in the financial and accounting portion of the respective budget. Because social services and the systems for social security are frequently implemented at the federal level in cooperation with local agencies, the integration capabilities of the SAP software make it possible for users from various agencies and facilities to operate using continuous, unified workflows.

long-standing customer and partner KMD Denmark

"Public budgets, particularly with sinking revenues and increasing demands, still have to provide the full scope of services from the social security systems to their citizens whenever they are needed," said Jens Romaus, senior vice president, Global Public Services, SAP AG. "With our new software solution, we are continuing to help public administrations more effectively apply their budgetary resources through increased case handling efficiency, greater transparency and quicker decision-making. At the same time, more productive administrative processes open up greater room for individually shaping the care and supervision of cases for individual citizens."

December 2010 Industries & Solutions Newsroom

About KMD

Denmark Denmark Denmark Denmark EUR 500 million

About SAP

Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "should" and "will" and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP’s future financial results are discussed more fully in SAP’s filings with the U.S. Securities and Exchange Commission ("SEC"), including SAP’s most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.

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