Building upon the success of its North American partnership, SAP AG has announced a worldwide expansion of its current reseller agreement with Vistex Inc., a leading provider of embedded solutions that extend the core value of SAP application functionality.
In response to increasing global market demand, SAP has agreed to resell Vistex solutions worldwide, marketed under the names SAP Paybacks and Chargebacks by Vistex and SAP Incentive Administration by Vistex. These solutions have been successfully deployed at several leading companies, including Ashland, Georgia-Pacific, Graybar, and Medline. As part of this new agreement, SAP is also making a strategic investment in Vistex that will help accelerate solution delivery in North America, Asia Pacific and Europe, the Middle East and Africa (EMEA).
Our deployment of Vistex as the tool to manage the complex rebate requirements of our suppliers in our solutions from SAP has enabled us to enhance our profitability by capturing more of the incentives we have earned, said Beatty DAlessandro, senior vice president and chief financial officer, Graybar. Our SAP Vistex implementation has been an important part of our 11 percent compounded growth rate in revenues and the 102 percent compounded annual growth rate in net profits since we fully implemented the system in 2004. These solutions allow us to automate and track claims, incentives and rebates, helping us to forge truly collaborative relationships with our suppliers. We are encouraged by SAPs move to deepen its relationship with Vistex.
Vistex solutions help automate and streamline collaborative business processes between distributors and manufacturers in several industries, including consumer products, foodservices, life sciences and retail. Contract pricing, chargebacks, billbacks, performance rebates, brokerage payments, royalties and other incentive programs play a crucial role in acquiring and retaining customers profitably. Distributors and manufacturers are using Vistex solutions to administer contracts, validate claims, reduce disputes, prevent overpayments and achieve extensive savings in labor costs associated with these programs.
We have worked with SAP since the inception of Vistex in 1999, and take tremendous pride in the success our relationship has generated and the worldwide demand we are seeing today for our solutions, said Sanjay Shah, founder and CEO, Vistex. SAP has done an outstanding job of supporting and nurturing the partner ecosystem that is manifested in our success and our mutually rewarding relationship. The expansion of our agreement with SAP and their strategic investment is testimony to the value we provide to SAP customers. The investment will boost our market presence as we continue to enhance our value to users of SAP applications.
Since June 2004, Vistex solutions have been licensed and supported by SAP under a reseller agreement for North America, the United Kingdom and the Caribbean region. These solutions are integrated with SAP applications, and complement the comprehensive SAP solution portfolio, offering cross-industry and cross-solution functionality.
Vistex solutions help differentiate SAP offerings and continue to be market leading in terms of functionality delivered, said Ed Lange, executive vice president and chief customer officer, SAP Americas. The solution extensions from Vistex have been well-received by our customers, leading to faster implementation times, superior performance and improved risk management all resulting in greater ROI. We value Vistexs commitment to supporting SAP solutions and are pleased to be making this investment toward extending our reseller agreement with them, offering their solutions worldwide.
Vistex delivers stylish, innovative add-ons to SAP application functionality that allows customers to fully exploit the strengths and potential of their SAP solution-based systems. Vistex leverages its extensive business and technical expertise to deliver unprecedented solutions to users of SAP applications who demand enhanced value from their installed systems.
Founded in early 1999 and headquartered in Chicago, USA, Vistex solutions have been deployed by numerous SAP customers. Since its inception, Vistex has a proven track record of working with SAP to exceed customer expectations. Located across the U.S.A, Germany and India, Vistex professionals are dedicated to providing high-end customer support and services.
SAP is the worlds leading provider of business software*. Today, more than 39,400 customers in more than 120 countries run SAP applicationsfrom distinct solutions addressing the needs of small businesses and midsize companies to suite offerings for global organizations. Powered by the SAP NetWeaver platform to drive innovation and enable business change, SAP software helps enterprises of all sizes around the world improve customer relationships, enhance partner collaboration and create efficiencies across their supply chains and business operations. SAP solution portfolios support the unique business processes of more than 25 industries, including high tech, retail, financial services, healthcare and the public sector. With subsidiaries in more than 50 countries, the company is listed on several exchanges, including the Frankfurt stock exchange and NYSE under the symbol SAP.
(*) SAP defines business software as comprising enterprise resource planning and related applications such as supply chain management, customer relationship management, product life-cycle management and supplier relationship management.