SAP to promote knowledge-based economy in Armenia

There were several aspects which contributed to the decision to enter the Armenian market. First, IT industry in Armenia has been dynamically developing over the past several years, securing a 30% growth. As to software and business applications market, it’s at the stage of formation: there is no strategy on implementation of business solutions. However, we are not afraid. The company has many times acted as a catalyst at developing markets.

Second, the working efficiency in Armenia is sevenfold lower than in the U.S. or Western Europe, according to McKinsey 2009 report. The low labor productivity affects the living conditions and competitiveness of the economy. With developing IT industry and introducing modern management tools, the country can increase its labor capacity.

Third, Armenia holds potential for business development. Our partner Shirak Technologies is of the same opinion. When real people and companies want to invest in business, it means that they believe in its development.

Furthermore, we understand that formation of market is a long and scrupulous work but we are ready to engage in it.

I think our customers will be first of all the enterprises engaged in mining industry, banking sector and state agencies. We have wide experience in raising the efficiency in these segments as well as e-governance. Many countries and organizations use our solutions. As to the banking sector, the demand is conditioned by the vitality of the financial system for the development of economy on the whole.

Our solutions will evidently help raise competitiveness and profitability of the Armenian companies. Judging by feedback from the private sector representatives, they are most interested in making the production-sale process faster and less expensive. SAP applications allow to build correct business processes and follow their implementation, thus saving money. Representatives of government agencies are most interested in corporate management issues.

I believe that the impact will be strongly positive. Using SAP software, companies will make the country’s economy more competitive while business processes will become more efficient, transparent and manageable. Partners like Shirak Technologies will introduce our solutions, thus creating demand for SAP consultants and programmers and accelerating IT sector development. Therefore, job opportunities in the knowledge-based economy will be created, which is one of Armenia’s priority tasks.