Capital Markets Day/media/Files/S/Software-AG-IR/ca… · 09.35 –10.10 Financial Metrics and KPIs...

5 February 2020

Capital Markets

Day

OTMAR WINZIG

HEAD OF INVESTOR RELATIONS

OPENING REMARKS

3 |

Time Subject Presenter

09.00 – 09.05 Welcome & Opening Remarks Otmar Winzig, SVP Investor Relations

09.05 – 09.35 Helix Year 2 – Momentum & Impact Sanjay Brahmawar, Chief Executive Officer

09.35 – 10.10 Financial Metrics and KPIs Arnd Zinnhardt, Chief Financial Officer

10.10 – 10.35 Go-to-Market Growth Strategy John Schweitzer, Chief Revenue Officer

10.35 – 10.55 Q&A (1) CEO, CFO & CRO

10.55 – 11.15 Coffee Break

11.15 – 11.35 Product Leadership Dr. Stefan Sigg, Chief Product Officer

11.35 – 11.55 Market Vision & Strategy Bernd Gross, Chief Technology Officer

11.55 – 12.15 Marketing Impact Paz Macdonald, Chief Marketing Officer

12.15 – 12.30 People & Culture Dr. Elke Frank, Chief Human Resources Officer

12.30 – 12.55 Q&A (2) All Presenters

12.55 – 13.00 Closing Remarks Otmar Winzig, SVP Investor Relations

13.00 – 14.00 Networking Lunch

14.00 – 16.45 Breakout sessions (separate agenda)

16.45 End of eventTO

DA

Y’S

AG

EN

DA

3 © 2020 Software AG. All rights reserved.

4 |

This presentation includes forward-looking statements based on the beliefs of Software AG management.

Such statements reflect current views of Software AG with respect to future events and results and are

subject to risks and uncertainties. Actual results may vary materially from those projected here, due to

factors including changes in general economic and business conditions, changes in currency exchange,

the introduction of competing products, lack of market acceptance of new products, services or techno-

logies and changes in business strategy. Software AG does not intend or assume any obligation to update

these forward-looking statements.

This presentation constitutes neither an offer nor recommendation to subscribe or buy in any other way

securities of Software AG or any of the companies that are members of the Group at present or in the

future, nor does it form part of such an offer and it should not be understood as such. This presentation

does not constitute an offer of sale of securities in the United States of America. Securities may not be

offered or sold in the United States of America without registration or exemption from registration in

accordance with the U.S. Securities‘ Act of 1933 in its currently valid form.

© 2020 Software AG. All rights reserved.

SAFE HARBOR STATEMENT

4

Sanjay Brahmawar

Chief Executive Officer

HELIX: YEAR TWO

MOMENTUM & IMPACT

6 | © 2020 Software AG. All rights reserved.

The renewed power of our

platform

Uniquely positioned in

growth markets

2020 investments and

demonstrating returns

OUR GOALS FOR TODAY

ENGAGING YOU IN OUR MOMENTUM

TRANSFORMATION OPPORTUNITY CLARITY

6

7 |

HELIX – ONE YEAR AGO TODAY

50YEARS


8 |

2011 2012 2013 2014 2015 2016 2017 2018

CASE FOR CHANGE

REVENUE GROWTH TRAJECTORY 2011 – 2018


9 |

EVOLVING OUR HELIX JOURNEY

AN ENTIRELY NEW COMPANY FROM THE INSIDE, OUT

2019 2020 2021 – 23

Lay

FoundationBuild

Momentum

Accelerate toward

€1bn

Analyst report

lead positions

New Logos

DBP rev

Subs/SaaS

ARR growth

Bookings

Subs/SaaS


Record-high

Product NPS

9

10 |

EVOLVING OUR HELIX JOURNEY

INVESTING IN MOMENTUM & IMPACT

2019 2020 2021 – 23

Lay

FoundationBuild

Momentum

Accelerate toward

€1bn

© 2020 Software AG. All rights reserved. 10


OPPORTUNITY IS OUR CATALYST

TARGET MARKETS IGNITING

IT

Transformation

budgets

Largest for 15

years1

$18 bn

$12 bn

Integration

Platform Market

TAM 2

2017

2022

$25.6 bn

$9.5 bn

IoT Platform

Market

TAM 3

2017

2023

(1) 2019 Harvey Nash / KPMG CIO Survey; (2) Gartner Inc.; (3) McKInsey

+50% +18% CAGR

11

12 |

OPPORTUNITY TO CLAIM NEW TERRITORY

THREE EMERGING AREAS TO MAKE OUR OWN

Connected Customer

Experience

Hybrid & Multi

Cloud

Operational

Excellence


“12 million new IoT

devices acquired per

day by 2022” 1

(1) Gartner Inc. ‘IoT Forecast Statistics’ 2019; (2) Gartner Inc. ‘Innovation Insight for Hybrid Integration Platforms’ 2019;

(3) Gartner Inc. ‘Application Strategies and Solutions Summit’ 2019.

“2022: 65% of global

organizations will have

implemented a hybrid

integration platform” 2

“Through 2020,

integration will

consume 60% of time

and cost of building a

digital platform” 3

12

13 |

OPPORTUNITY IN OUR EDGE

CHANGING OUR COMPETITIVE DYNAMIC

• Greater cohesion in our Integration, B2B, API products

• Clarity of positioning in key growth markets

• Integration, iPaaS and IoT capabilities our ‘edge’

• Winning against – and replacing

• Customer engagement model vs. product model

• A&N installation eases integration

• Stability, simplicity, robustness and uptime

• Ease of use, ease of migration


14 |

OPPORTUNITY, UNLOCKED

5 LINKED INVESTMENT AREAS

Targeting €1bn Group

Revenue in 2023


15 |

BUILDING ON 2019 ADVANCES

IDENTIFYING STRENGTH, INVESTING BEHIND IT

EMEA & APJ

double digit

NAM stable &

predictable

50% MQL

contribution

280 deals

ARR +10%

51.5% Bookings

Subs/SaaS

20

19

1st Adobe wins

+$20m Microsoft

pipeline

Culture Survey

+185 FTE

20

20

Business Model Quality

Sales Excellence Demand Generation

Customer Success

Pricing & Packaging

Partner Activation

Alliances

Talent & Leadership

People


16 |

The renewed power of our

platform

Uniquely positioned in

growth markets

2020 investments and

demonstrating returns

OUR GOALS FOR TODAY

ENGAGING YOU IN OUR MOMENTUM

TRANSFORMATION OPPORTUNITY CLARITY


Arnd Zinnhardt

Chief Financial Officer

Financial

Model & KPIs

18 |

DBP – Cloud & IoT Product Bookings

DBP (excl. Cloud & IoT) – Product Bookings

A&N – Product Bookings

Operating Margin Group

(EBITA non-IFRS)2)

DBP ex IoT – Product Bookings

OUTLOOK

FULL YEAR 2020

1) At constant currency rates2) Adjusted for non-operating items (see non-IFRS earnings results)

FY 2019(in €m)

PRELIMINARY

100.8

241.1

29.2%

65.9

FY 2020 Outlook (as of January 29, 2020)

20% to 22%

-3% to +3%1)

+40% to +60%1)

+10% to +15%1)


19 |

WHY BOOKINGS?

However, honoring IFRS standards, the mode of

deployment determines the point in time when

revenue is recognized.

“IFRS Revenue” is not the best metric to measure

sales success when using a mixed license model

Therefore, we introduce “Bookings” as the new

KPI to track customer adoption and to measure

sales success.

…is the normalized 3-years’ commitment of a

customer for our products*. It does not make any

difference whether the customer consumes the

products as a perpetual license, a subscription or

as a service.

The market success of a company must be

derived from the customers’ adoption of its

products. In this context the deployment and

consumption model of its products is irrelevant.

Deployment Model IFRS Standards

Indicator for Sales success The way we define “Bookings”

* Professional Services sold to our customers are not considered for Bookings


20 |

REVENUE RECOGNITION REFRESH

DEPLOYMENT MODEL REVENUE RECOGNITION

PERPETUAL Licenses: upfront Maintenance: pro-rata

SUBSCRIPTIONLicenses: upfront

for period of commitment Maintenance: pro-rata

SAAS pro-rata


21 |

BOOKINGS DEFINITION – BY DEPLOYMENT

1 only new Maintenance is considered for Bookings. In case of License without Maintenance contracts, only License value is considered for Bookings2 Annual Contract Value (ACV) equals Total Contract Value (TCV) divided by contract duration; For contracts with a duration of 90 - 365 days, the TCV is considered for Bookings; Contracts with a duration

smaller 90 days are not considered for Bookings

DEPLOYMENT

MODEL

CONSIDERED FOR

BOOKINGS

BOOKING

CALCULATION

NEW ✓Total License Value

plus 3 Years annual Maintenance1

RENEWALS(MAINTENANCE) No impact on Bookings

NEW ✓

RENEWALS ✓

NEW ✓

RENEWALS ✓

SAAS

Annual Contract value

times 3 years2

(ACV x 3)

Annual Contract value

times 3 years2

(ACV x 3)

SALES EVENT

PERPETUAL

SUBSCRIPTION


22 |

FROM BOOKINGS TO REVENUE – YEAR 1

EXAMPLE PER DEPLOYMENT MODEL

DEPLOYMENT MODELCONTRACT

START DATE

BOOKINGS REVENUE

YEAR 1 YEAR 1

PRODUCT License Maint. PRODUCT License Maint.

PERPETUALJAN 1st 1.600 1.000 600 1.200 1.000 200

DEC 31st 1.600 1.000 600 1.000 1.000 0

SUBSCRIPTIONJAN 1st 1.600 1.000 600 1.200 1.000 200

DEC 31st 1.600 1.000 600 1.000 1.000 0

SUBSCRIPTION

with annual termination right

JAN 1st 1.600 1.000 600 533 333 200

DEC 31st 1.600 1.000 600 333 333 0

SAASJAN 1st 1.600 - - 533 - -

DEC 31st 1.600 - - 0 - -

TOTALJAN 1st 6.400 ~ 3.500

DEC 31st 6.400 ~ 2.300


23 |

FROM BOOKINGS TO REVENUE – MID-TERM

EXAMPLE PER DEPLOYMENT MODEL(Contract START DATE JAN 1st)

DEPLOYMENT MODEL

YEAR 1 Y2 Y3 Y4 YEAR 1 Y2 Y3 sum Y1-Y3 Y4 Y5 Y6 sum Y4-Y6

PERPETUAL 1.600 - - - 1.200 200 200 1.600 200 200 200 600

SUBSCRIPTION 1.600 - - 1.600 + 1.200 200 200 1.600 1.200 + 200 + 200 + 1.600 +

SUBSCRIPTIONwith annual termination right

1.600 - - 1.600 + 533 533 533 1.600 533 + 533 + 533 + 1.600 +

SAAS 1.600 - - 1.600 + 533 533 533 1.600 533 + 533 + 533 + 1.600 +

TOTAL 6.400

PRODUCT BOOKINGS PRODUCT REVENUE


24 |

TOTAL REVENUE MID-TERM DEVELOPMENT

Adabas & Natural

Professional Services

DBPfrom existing contracts

DBP

from new contracts

m€

1.000

2019 2020 2021 2022 2023


25 |

25 – 30%

Operating

Margin

Digital

Business

~15% CAGR

Group

Revenue

€1B+

85% – 90%

Recurring

Product

Revenue

2023

Accelerated growth,

higher quality and

higher visibility

of revenues,

good margin and

cash generation

OUR AMBITION

© 2020 Software AG. All rights reserved. 25 © 2020 Software AG. All rights reserved.

26 |

FROM BOOKINGS TO REVENUE

REVENUE FACTORS

BOOKINGS

VALUE

REVENUE

RECOGNIZED

▪ Deployment Model

▪ ~50% of subscription contracts

with annual termination rights

▪ Normalized Seasonality*

*Pro-Rata components (applicable for Maintenance & SaaS) are considered with an assumed contract start

date July 1st. Therefore 50% of 1st year amount is considered in Factor for Year 1

REVENUE FACTORper Deployment Model

FACTORS*

for YEAR 1YEAR 2

~ 0,7

1€ Booking = ~0,7€ Revenue

SUBSCRIPTION ~ 0,7 ~0,1

SUBSCRIPTIONwith annual termination right

~ 0,3 ~0,3

SAAS ~ 0,2 ~0,3

PERPETUAL ~0,1


27 |

FROM BOOKINGS TO REVENUE

DETAILED CALCULATIONS

EXAMPLES YEAR 1 YEAR 2

PERPETUAL

SUBSSCRIPTION

LICENSE: 1000 / 1600 = 0.625

MAINTENANCE: (200 / 2) * (1 / 1600) = 0.063

TOTAL: 0.625 + 0.063 = 0.688

= ~ 0.7

w/ annual

cancellation

LICENSE: 333 / 1600 = 0.208

MAINTENANCE: (200 / 2) * (1 / 1600) = 0.063

TOTAL: 0.208 + 0.063 = 0.271

= ~ 0.3

200 / 1,600 = 0.125

= ~ 0.1

333 / 1600 = 0.208

200 / 1,600 = 0.125

0.208 + 0.125 = 0.333

= ~ 0.3



EXPECTED DEPLOYMENT MIX 2020

SEGMENT

DEPLOYMENT

MODEL

Digital Business

Platform(excl. IoT & Cloud)

IoT & CloudAdabas &

Natural

TOTAL

PRODUCT

BUSINESS

PERPETUAL 40 - 50 % 5 - 10 % 90 - 100 % 50%

SUBSCRIPTION 50 - 60 % 40 - 50 % 0 - 10 % 40%

SAAS 50 - 55 % 10%

28

29 |

BOOKINGS 2019

Q1 Q2 Q3 Q4TOTAL

YEAR

Digital Business Platform

(excluding Cloud & IoT)34.9 43.7 58.8 103.7 241.1

IoT & Cloud 14.1 17.9 14.8 19.1 65.9

Adabas & Natural 21.4 21.9 28.3 29.2 100.8

*Applies to Subscription & SaaS contracts: Annual Contract Value (ACV) equals Total Contract Value (TCV) divided by contract duration; For contracts with a duration of 90 - 365 days, the TCV is considered for

Bookings; Contracts with a duration smaller 90 days are not considered for Bookings.


30 |

INVESTMENTS

2020 VS 2019

DETAILED BREAKDOWNGTM

~50% PRODUCT

R&D

~40%

People &

Culture

~10%

Total €40m – €50m


John Schweitzer

Chief Revenue Officer

GTM Growth

Strategy

32 | © 2020 Software AG. All rights reserved. For internal use only

Trusted innovation partner

Addressing mega trends

New business model

Long term vision

WHY I’M EXCITED



2019 FOUNDATION

New GTM Architecture

New Specialization

• 27% new logos

• 0 → 25% resources

New Sales Leadership

DBP+IOT pipe >3x

AE Participation

• 34% → 62%

• 76% improvement

New Mega Partners

Content & Training

Align w Prof. Services

Contracts

Sales Methodology

Industry Content

GLOBAL GTMNORTH

AMERICA

ALLIANCES &

CHANNELSSIMPLIFIED



GTM ARCHITECTURE

STANDARDIZED AND IMPROVED

Enterprise

Corporate

Strategic Accounts

Enterprise Accounts

Corporate Accounts

Pipe & Rev

Support

Sa

les

Deve

lop

me

nt

Ins

ide

Sa

les

Partner

Ecosystem

Ind

ep

en

den

t S

oft

wa

re V

en

do

rs

Co

-se

ll

Dis

trib

uti

on

Sys

tem

In

teg

rato

rs

Pre

sa

les

Sp

ec

iali

sts

Cu

sto

me

r S

uc

ce

ss


35 |35 |

2020 MANDATE

DEVELOP DELIVERDELIGHT

our customers world class sales

organization

strong double-digit

bookings growth

1H Pipeline

3x DBP & 6x IoT

Participation

42% → 65%

NPS

18 → 44+

FOCUSED EXECUTION


36 |36 | © 2020 Software AG. All rights reserved.

2020 GROWTH STRATEGY

CRITICAL SUCCESS FACTORS

Leverage new business model

Ignite alliances and channels

Accelerate demand generation

Sharpen sales excellence

GROWTH

36

37 |

LEVERAGE NEW BUSINESS MODEL

ALL READY FROM DAY ONE OF 2020

Product Bundles

Usage Tiers

New metric - transactions

PRICING &

PACKAGINGSUBSCRIPTION

Customer choice

Increase velocity

Simple contracts

CUSTOMER

SUCCESS

Solution adoption

Protect the baseline

Expand


38 |

IGNITE ALLIANCES AND CHANNELS

BUILDING FOR GROWTH: MID-TERM CAGR 40%+

INDEPENDENT SOFTWARE

VENDORSOEMs

SYSTEM INTEGRATORS RESELLERS AND DISTRIBUTORS

TECHNOLOGY

ALLIANCES


39 |

IGNITE ALLIANCES AND CHANNELS

KEY NEW PARTNERSHIPS

• What: Adobe Experience Platform

• Products: WM.io

• Route-to-market: OEM / co-sell

• Pipeline Focus

• Marketo OEM

• 20+ opportunities

• >1m pipeline

• Net new logo focused

• What: consume Azure faster / IoT

• Products: WM.io and Cumulocity

• Route-to-market: co-sell

• Pipeline focus

• 30+ opportunities – Partner

Center

• 20m+ pipeline in 4Q19 alone

• Regions: NA & EMEA


40 |

GTM INVESTMENT AREAS

SPLIT AND IMPACT

Marketing25%

Regions30%

Customer Success

20%

Alliances and Channels

25%

50% increase in Field Marketing;

Pipeline

Increase in Sales Capacity;

Bookings Growth

New Talent and Data Platform;

Increase ARR, Net Retention and NPS

Increase in Capacity;

Channel Bookings Growth



THE DIGITAL BUSINESS OPPORTUNITY

IoT &

Analytics

Device Connectivity

Analytics

Device Management

Data Management

Application Enablement

Business

Transformation

Business

Automation

Measurement

& Control

Enterprise Architecture

Management

Roll-Out & Governance

Business Design & Planning

Integrated

Portfolio

Management

Strategy

Synch

Integration

& API

Low Code App Development

App & Cloud & Data

Integration

B2B Integration

API Management

In-Memory

Data

Management

Messaging




IoT &

Analytics

Device Connectivity

Analytics

Device Management

Data Management


Business

Transformation

Business

Automation

Measurement

& Control


Management



Integrated

Portfolio

Management

Strategy

Synch

Integration

& API


App & Cloud & Data

Integration

B2B Integration

API Management

In-Memory

Data

Management

Messaging


Not available for webcast

Video Playing

Q&A10:35 – 10:55

CEO, CFO and CRO

Inbox for webcast attendees

[email protected]

Coffee break10:55 – 11:15

See you again shortly

Dr Stefan Sigg

Chief Product Officer

Product

Leadership

49 |

Digital Integration

Hub

Industry IoT

API ManagementHybrid Integration

• Embedded Cumulocity IoT and

webMethods into Siemens

MindSphere

• webMethods.io embedded in PTC

• ADAMOS IoT solution roadmap

• Industry analyst predictions

• Industry use cases, e.g.

– Machine and plant builders

– Retail

– Utilities

– Telco

ANTICIPATING A STRONG MARKET CONVERGENCE

HELIX FOCUS AREAS MERGE

Market evidence


50 |

LEADERSHIP POSITIONS IN HELIX FOCUS MARKETS

EXCELLENT PRODUCT RECOGNITION ACROSS ANALYSTS

API Management Hybrid Integration Industry IoT


51 |

Cumulocity IoT Data Hub

Scalable and cost-effective Cloud Big Data solution

TrendMiner ContextHub

Self-service root cause analytics for time-series data

webMethods.io API

Full lifecycle API Gateway and Portal

webMethods.io

Self-service Hybrid Integration and Integration-as-a-Service

webMethods.io B2B

Next generation business-to-business integration

KEY INNOVATIONS DELIVERED IN 2019

FOCUS DRIVES ABILITY TO EXECUTE


52 |

webMethods.io App Mesh

Closing the semantic gap between applications and the Service Mesh

webMethods.io Data Hub

Scalable Big Data layer for integration data

Cumulocity IoT Solution Accelerators

Ready-to-run IoT solutions

Cumulocity IoT Security

Certificate lifecycle management

Cumulocity IoT and TrendMiner

End-to-end integrated analytics and AI/ML based on IoT data

KEY INNOVATION PRIORITIES FOR 2020 AND BEYOND

THOUGHT LEADERSHIP AND DELIVERY EXCELLENCE


53 |

UNIQUELY POSITIONED TO COVER THE WHOLE STACK

FOCUS ON SELF-SERVICE & FAST TIME-TO-MARKET

Integration &

Messaging

Data Hub

Historical data

Real-time data

Historical

B2B

Device Mgmt &

Connectivity

Integration &

Messaging

Enterprise / Cloud


54 |

A&N Cloud Journey

From Mainframe to Linux, from Linux to Containers, from Containers into the Cloud

New ARIS Process Mining

All new Cloud-born version, leveraging synergies with ARIS process modeling and IoT production process data

Alfabet Fastlane

Cloud-based entry-level offering for IT portfolio management

ARIS Elements

Cloud-based entry-level offering for self-service enterprise process excellence

ADDITIONAL KEY ROADMAP ITEMS 2020+

ADABAS & NATURAL – ARIS & ALFABET


55 |

Market Relevance

Delivery Excellence

Customer Experience

THE 3 KEY TAKE-WAYS


Bernd Gross

Chief Technology Officer

Market Vision

& Strategy


OUR MARKET VISION

GUIDING OUR STRATEGY

The extreme

competitiveness of

a Truly Connected

Enterprise

56

58 |

RETURN TO THE OPPORTUNITY

IT

Transformation

budgets

Largest for 15

years1

$18 bn

$12 bn

Integration

Platform Market

TAM 2

2017

2022

$25.6 bn

$9.5 bn

IoT Platform

Market

TAM 3

2017

2023

(1) 2019 Harvey Nash / KPMG CIO Survey; (2) Gartner Inc.; (3) McKInsey

+50% +18% CAGR



DUEL FOR THE FUTURETesla against VW: Can the Wolfsburgers still succeed in catching up?

58

60 |

THE TRULY CONNECTED ENTERPRISE

DRIVING A NEW GENERATION OF DIGITALIZATION

Everything-as-a-

Service

is the new paradigm

Connected Customer

Experience

is the new disruption

The Truly Connected

Enterprise

is the new reality


61 |

Connected Enterprises

TRANSFORMS X

62 |

TRULY

CONNECTED

ENTERPRISE

CRITICAL

CAPABILITIES



TURNING DATA

INTO DECIMATED DOWNTIME

64 | © 2019 Software AG. All rights reserved.© 2019 Software AG. All rights reserved.© 2019 Software AG. All rights reserved.© 2020 Software AG. All rights reserved.

TURNING DATA

INTO PERFECTLY PAINTED CARS

65 |© 2019 Software AG. All rights reserved. For internal use only and

for Software AG Partners.© 2019 Software AG. All rights reserved. © 2019 Software AG. All rights reserved.© 2020 Software AG. All rights reserved.

TURNING DATA

INTO A SUPERIOR FAN EXPERIENCE


TURNING DATA

INTO 100% PAPERLESS CITIZEN SERVICES

DRIVING A NEW GENERATION OF DIGITALIZATION

THE TRULY CONNECTED ENTERPRISE


The convergence of Integration & IoT is Software AG’s USP

The Truly Connected World

is the new reality

Everything-as-a-Service

is the new paradigm

Connected Customer Experience

is the new disruption

Paz Macdonald

Chief Marketing Officer

Marketing

Impact

69 |

PURPOSE AND PRINCIPLES

FUELING THE GROWTH ENGINE

Enable Sales

function to be successful

Bridge the gap between

Software AG and buyers

Grow and optimize

‘Lead to Revenue’ engine


70 |

REPUTATION REVENUEREACH

Starting quality

conversations in markets

where we’re strong

Winning where we have

the right: in Integration

and in IoT

Impacting sales and

driving revenue for

Software AG

REACH, REPUTATION, REVENUE

FUNCTION WITH CLEAR FOCUS


71 |

DELIVERING RESULTS IN 2019

CLEAR FOCUS AND TANGIBLE OUTPUT

INPUT

GROWTH

MARKETING

FUNCTION

Build

TeamDigital

First

Develop

Nurture

Tracks

Focus

on Key

Regions

IMPACT

Contribution to pipeline in key geographies –

50% average

MQLs increased 18% YoY; 65% YoY in H2

R4Q Marketing contribution:

Integration – 48% IoT – 50%

280 deals in 2019

Overall contribution to pipeline: €285.9m


72 |

PRIORITIES FOR 2020BUILDING MOMENTUM: FOCUS ON QUALITY

Brand

Drives reputation

Route to Sale

Route to Talent

Digital First

Closer to the buyer

Seamless customer

experience

Demand Gen

Quality and quantity

Big names; meaningful

results

FOCUS 2020


73 |

INVESTING IN DEMAND GENERATIONGROW REVENUE – IMPROVE FUNNEL CONVERSIONS

INPUTS

IMPACT

• Integrated Demand Generation plan

• Investment in the right industry events

• Campaigns with impact

• Faster, higher quality pipeline build

• ‘Lead to Revenue’ cycle shortened

• Increased net new logos


74 |

INVESTING IN DIGITALMEETING OUR AUDIENCES WHERE THEY ARE

INPUTS

IMPACT

• New website

• Increased digital campaigns

• Martech stack

• +20% unique new visitors

• Lower cost per acquisition

• Data to aid decision making and improve


75 |

INVESTING IN BRANDDRIVING AWARENESS AND MARKET POSITIONING

INPUTS

IMPACT

Elevate our messages to buyer needs

Increased social amplification on wins

‘Living Connections’ for Integration and IoT

Shorter sales cycles, faster route to buyer

Improved reputation and Share of Voice

Drive market and thought leadership


76 |

REPUTATION REVENUEREACH

Starting quality

conversations in markets

where we’re strong

Winning where we have

the right: in Integration

and in IoT

Impacting sales and

driving revenue for

Software AG

REACH, REPUTATION, REVENUE

CLEAR IN OUR 2020 CONTRIBUTION


Dr. Elke Frank

Chief Human Resources Officer

People &

Culture

78 |

CULTURE EATS STRATEGY FOR BREAKFAST

INVESTING IN PEOPLE AND CULTURE

1

2

3

• Culture is at the core of every successful company

• HELIX brings our transformation strategy and culture closer together

• Great culture retains rock stars & attracts the best talent – our business needs

sales and product talent to win

• Great culture drives change – our business needs to change and develop winning

behavior and mindsets

• Leadership is key to leverage our HELIX strategy into the organization and develop

the right talents and the mindset


#MyVoiceResults – Global Employees Survey 2019

74%*

Response rate

of #MyVoice

3.63 Software AG

Engagement score

25th

Engagement Score

Percentile rank – Software

Development industry

Where we have

work to do:

▪ Recognition

▪ Empowerment

Where we

performed well:

▪ Know what’s expected

▪ Willing to do more

Top

Regions:

▪ Asia Pacific & Japan

▪ North America

* 3491 respondents out of 4726 Software AG employees


80 |

KEY PRIORITIES

THREE FOCUS POINTS FOR HR FOR 2020 & BEYOND

Leadership&Talent Structure Culture

Talent Management

And Acquisition

Cultural Change at Software AG

Organizational Setup


our brand

missionvision

b5 values

purpose

We empower our customers

to turn data into valueWe unlock the power of data

to shape a better future

| How?| What?

purpose | Why?

We connect technology and

people for a smarter

tomorrow

DEFINING OUR CULTURE AND LIVING IT


Not available for webcast

Video Playing

Q&A12:30 – 12:55

All Presenters

Inbox for webcast attendees

[email protected]

Otmar Winzig

SVP – Investor Relations

Closing

Remarks

Networking Lunch 13:00 – 14:00

Our webcast is now ended

Capital Markets Day/media/Files/S/Software-AG-IR/ca… · 09.35 –10.10 Financial Metrics and KPIs...

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Transcript of Capital Markets Day/media/Files/S/Software-AG-IR/ca… · 09.35 –10.10 Financial Metrics and KPIs...