Batting for the little guys: Panaya's progress

Panaya is one of those companies that you rarely hear about but which is bringing something good to the enterprise table. I spoke with Amit Bendov, its CMO about company progress and what it's seeing in the marketplace.
Written by Dennis Howlett, Contributor on

One of the thrills of attending an event is coming across a relatively small vendor that has something interesting to talk about and is doing good things.

Last week I ran into Amit Bendov, chief marketing officer of Panaya, a company that provides SaaS solutions for SAP customers undertaking upgrades. In a recent survey, (short registration required) Panaya found that:

  1. The average cost of SAP development and support across the surveyed organizations is $5,670 per user per year.
  2. On average, 70% of the cost goes towards in-house resources and 30% towards outsourcing.
  3. Overall cost is the top support-related challenge, as cited by 70% of the respondents.
  4. The effort involved in implementing Support Packages is quite considerable, reaching an average of 73 person days per support package, with the majority of the effort associated with testing (42
  5. days).
  6. When asked about their reaction to the recent changes in SAP’s Enterprise Support policy, the majority of the respondents (68%) do not think the price increase is reasonable. At the same time, a surprising 32% is either supportive of the price increase or neutral to it.

Ever since I stumbled across the company last year, I've liked both their story and vision of reducing the pain and cost of SAP customers that are upgrading. In the above video, I asked Amit to tell me what's happening with the company and how it is progressing. Highlights from the above video:

  • Panaya has crossed the 150 customer line and counts Sony, Mercedes-Benz and Home Depot among its users.
  • January 2010 will see a new release that takes its testing solution a step beyond discovery of likely breaks. In the upcoming release, Panaya will automatically fix around 70% of the issues it finds
  • Some color on product pricing
  • The elimination of unit testing and reduced regression testing
  • How Panaya fits with the notion of agile development
  • Scaling the business with Amazon's elastic cloud infrastructure

It's a good story and one that should cheer many an otherwise worried SAP customer.

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