Mercedes-Benz and SAP: Driving Sustainable EV Experience
Electric vehicles (EVs) are revolutionizing corporate fleet management, as seen in the collaboration between Mercedes-Benz and SAP. Mercedes-Benz utilizes SAP solutions to digitize its omnichannel purchasing process, while SAP, in turn, utilizes its own technology to manage Mercedes-Benz's vehicle fleet in Germany.
With a longstanding partnership, SAP and Mercedes-Benz leverage shared knowledge for mutual competitive advantage, grounded in similar business philosophies and product roadmaps. Mercedes-Benz aims to transition its B2B business entirely to digital, with plans to sell a quarter of all new cars online by 2025. To support this goal, the company has chosen SAP Commerce Cloud, enabling a future-proof composable commerce portfolio to drive its digital strategy across various markets, simplifying processes and reducing time-to-market.
Digitalized fleet management offers numerous benefits. For SAP employees, ordering a company EV is streamlined through SAP Ariba solutions. Instead of tedious manual research and communication with dealers, employees can utilize guided buying within SAP's platform to order directly from Mercedes-Benz's online catalog. This process allows them to select desired features within SAP's predefined guidelines, including car make and model, color, and equipment packages.
“The car configurator automates the EV selection process end-to-end, eliminating manual steps and saving time while providing the employee with a highly personalized experience,” said Steffen Krautwasser, head of SAP’s global car fleet. “Automating the approval process assures data consistency and eliminates the need for manual quality checks.”
The utilization of captured EV data presents a significant convenience. In a pilot program involving selected EVs within SAP's fleet, mileage tracking is automated through digital twins. This eliminates the need for drivers to manually input mileage during recharges, and enables SAP to enhance fleet management using this data.
Connected data plays a pivotal role in driving sustainable business practices. Following the order placement, EVs are registered as assets within SAP's financial system. Upon delivery, the SAP Digital Vehicle Suite generates digital twins capable of securely capturing relevant data throughout the EVs' lifetimes. SAP's fleet management team can monitor CO2 emissions based on factors like green energy utilization, mileage, and the fleet's size. This data, envisioned by Krautwasser, could bolster the company's global sustainability initiatives.
Krautwasser noted, "Performance data from the EV digital twin can assist corporate fleet managers in advising employees on selecting the most suitable vehicle for their driving needs." Over time, drivers can develop a better understanding of travel ranges between charges, potentially alleviating range anxiety. Data insights are expected to alert EV drivers when charging is required and provide information on nearby charging stations. Mercedes-Benz is investing in charging infrastructure to establish an integrated ecosystem with public and private charge point providers across the U.S., China, and Europe.
Furthermore, the partnership underscores a shared dedication to sustainability. Mercedes-Benz has pledged to achieve carbon neutrality by 2038 and transition to 100% electric vehicles wherever feasible by 2030. SAP is transitioning its employee vehicle fleet in Germany to exclusively EVs by 2025 as part of its commitment to carbon neutrality by 2030.
Recognizing the paramount importance of the digital experience, particularly for customers seeking convenience and quality, organizations across various industries are embracing an omnichannel strategy. This approach caters to individual preferences, whether online or in-person, fostering brand loyalty and recurring business.
“We want to provide a seamless journey for employees as they research, select, purchase, and enjoy their vehicle,” said Krautwasser. “The most exciting part of our EV fleet management strategy is how we can use our knowledge to enhance the employee experience. Through data and digital services, we can get closer to our employees and act quickly based on their feedback, making improvements and introducing new offerings that keep us on top of trends and support SAP’s sustainability commitment.”
The emergence of electric vehicles (EVs) marks a significant transformation in the automotive supply chain's business model. Automakers are now selling directly to customers, offering digital services utilizing vehicle data, and seeking out fresh revenue avenues. It is evident that Mercedes-Benz and SAP are fully committed to ensuring a sustainable and gratifying driving journey.
With a longstanding partnership, SAP and Mercedes-Benz leverage shared knowledge for mutual competitive advantage, grounded in similar business philosophies and product roadmaps. Mercedes-Benz aims to transition its B2B business entirely to digital, with plans to sell a quarter of all new cars online by 2025. To support this goal, the company has chosen SAP Commerce Cloud, enabling a future-proof composable commerce portfolio to drive its digital strategy across various markets, simplifying processes and reducing time-to-market.
Digitalized fleet management offers numerous benefits. For SAP employees, ordering a company EV is streamlined through SAP Ariba solutions. Instead of tedious manual research and communication with dealers, employees can utilize guided buying within SAP's platform to order directly from Mercedes-Benz's online catalog. This process allows them to select desired features within SAP's predefined guidelines, including car make and model, color, and equipment packages.
“The car configurator automates the EV selection process end-to-end, eliminating manual steps and saving time while providing the employee with a highly personalized experience,” said Steffen Krautwasser, head of SAP’s global car fleet. “Automating the approval process assures data consistency and eliminates the need for manual quality checks.”
The utilization of captured EV data presents a significant convenience. In a pilot program involving selected EVs within SAP's fleet, mileage tracking is automated through digital twins. This eliminates the need for drivers to manually input mileage during recharges, and enables SAP to enhance fleet management using this data.
Connected data plays a pivotal role in driving sustainable business practices. Following the order placement, EVs are registered as assets within SAP's financial system. Upon delivery, the SAP Digital Vehicle Suite generates digital twins capable of securely capturing relevant data throughout the EVs' lifetimes. SAP's fleet management team can monitor CO2 emissions based on factors like green energy utilization, mileage, and the fleet's size. This data, envisioned by Krautwasser, could bolster the company's global sustainability initiatives.
Krautwasser noted, "Performance data from the EV digital twin can assist corporate fleet managers in advising employees on selecting the most suitable vehicle for their driving needs." Over time, drivers can develop a better understanding of travel ranges between charges, potentially alleviating range anxiety. Data insights are expected to alert EV drivers when charging is required and provide information on nearby charging stations. Mercedes-Benz is investing in charging infrastructure to establish an integrated ecosystem with public and private charge point providers across the U.S., China, and Europe.
Furthermore, the partnership underscores a shared dedication to sustainability. Mercedes-Benz has pledged to achieve carbon neutrality by 2038 and transition to 100% electric vehicles wherever feasible by 2030. SAP is transitioning its employee vehicle fleet in Germany to exclusively EVs by 2025 as part of its commitment to carbon neutrality by 2030.
Recognizing the paramount importance of the digital experience, particularly for customers seeking convenience and quality, organizations across various industries are embracing an omnichannel strategy. This approach caters to individual preferences, whether online or in-person, fostering brand loyalty and recurring business.
“We want to provide a seamless journey for employees as they research, select, purchase, and enjoy their vehicle,” said Krautwasser. “The most exciting part of our EV fleet management strategy is how we can use our knowledge to enhance the employee experience. Through data and digital services, we can get closer to our employees and act quickly based on their feedback, making improvements and introducing new offerings that keep us on top of trends and support SAP’s sustainability commitment.”
The emergence of electric vehicles (EVs) marks a significant transformation in the automotive supply chain's business model. Automakers are now selling directly to customers, offering digital services utilizing vehicle data, and seeking out fresh revenue avenues. It is evident that Mercedes-Benz and SAP are fully committed to ensuring a sustainable and gratifying driving journey.
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