McKinsey and SAP Expand Partnership to Accelerate GenAI Transformation  

McKinsey and SAP are partnering on a new generative AI collaboration that expands on its long-standing strategic alliance.

The new offering, the Generative Enterprise, aims to unlock synergies between SAP Business AI and QuantumBlack, AI by McKinsey to help leaders bring the Generative Enterprise to life and build sustainable, resilient, and adaptive businesses, according to the companies.

The organization’s core enterprise ecosystem, with SAP Business Technology Platform (SAP BTP) as the foundation, is a prime area for realizing the greatest value from generative AI and other emerging technologies.

“Our values compel us to help businesses effectively navigate any crisis,” said Bob Sternfels, global managing partner for McKinsey. “In the enterprise context, partnering with SAP on this vision to deliver the Generative Enterprise is a privilege that we’re grateful for. Together, we can help pave the sustainable path to impact through technology.”

SAP and McKinsey have drawn on their individual strengths to create a strategic alliance that shifts the focus from technical implementation to business transformation by merging technology modernization with strategy execution, helping companies address critical challenges and drive business results.

Together, McKinsey and SAP have identified several value opportunity sources, including the enhancement of SAP S/4HANA’s out-of-the-box functionality and other assets that can accelerate transformation, such as code generation.

But the full potential generative AI benefit, both organizations agree, goes well beyond individual applications.

“Relevant, reliable, and responsible AI can help transform companies faster than ever,” said Christian Klein, CEO and member of the executive board of SAP SE. “This collaboration with McKinsey on the Generative Enterprise enables us to bring together the best of our individual strengths in technology and strategy execution to help customers unlock AI-enabled value across their core business processes.”

McKinsey research on resilient businesses indicates that managing disruptions defines sustainable growth more than managing continuity. McKinsey and SAP agree that generative AI can help improve the overall resilience of a business. This is the genesis of the Generative Enterprise vision.

The new offering can help clients use generative AI to adapt to disruption through perpetual synchronization across strategy, operating models, process and data design, and operational execution enabled by AI.

Guided by the transformation roadmap and approach described in Rewired: The McKinsey guide to outcompeting in the age of digital and AI, McKinsey is also collaborating with SAP to define a Generative Enterprise playbook that includes an AI-driven reference for business operating models. Organizations with high product operating model maturity across geographies and industries have 60% higher returns to shareholders.

The offering also features platform reference architecture that combines process excellence, broad AI architecture and MLOps, cloud deployment platform, and enterprise architecture governance.

Finally, the Generative Enterprise offers a multi-dimensional library of AI use cases and the corresponding business scenario roadmaps.

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