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Software AG and Watt Germany GmbH Revolutionizing the Utility's Business Processes

¶ -- All business processes - from ordering to final billing - to be optimized, automated and analyzed in real-time ¶ -- Process automation will allow Watt to change business processes and implement new business decisions 'on-deman

Software AG, a global leader in business infrastructure software, today announced that Watt Germany GmbH has chosen the webMethods product suite from Software AG to support a revolutionary approach to managing Watts business processes. Watt has embarked on a program of redefining its total operations from a business process perspective. Having reduced and standardized the total number of processes, Watt will then automate and monitor the running business through a reorganization of its IT infrastructure. The new infrastructure will enable Watt to make more immediate changes to processes in order to implement new regulations, support new customer requirements and introduce new products on-demand. In addition, Watt estimates that it can deliver efficiency gains of 30% allowing for the re-allocation of resources and accelerating sales.

Watt, a leading electricity provider serving small to mid-size organizations throughout Germany, is the ultimate digital business. The product is digital, the supply chain is digital and the companys sales and marketing processes are digital. The buying and selling of electricity that is core to its business requires accurate forecasts of demand, down to the customer level, the ability to rapidly switch customers between suppliers, and the need for accurate and timely billing. Watt is the first electricity provider in Germany to attempt to automate this digital value chain from first customer contact to supply and finally to billing.

This is revolutionary, says Markus Felsmann, Director of IT & Processes at Watt. What we are doing here will allow us to make better business decisions, more readily identify which processes need to be changed to implement those decisions, and to start making those changes immediately.

To Watts customers, this enables a choice in terms of service level definition and product scalability. For them, electricity will be more than just a commodity, but rather, a tool for minimizing costs through accurate demand forecasting and just-in-time delivery. Welcome news in todays energy markets.

It is not only about efficiency, adds Felsmann. Although this is important, we will also have real-time monitoring and analysis of our total business. This means that we can pin-point and change activities that are less than optimal, and introduce new activities in hours rather than days or in days instead of weeks.

Watts overall approach is to look at the business from a new process perspective, independent of any underlying IT requirements or restrictions. For example, the order-to-cash process was redesigned to achieve specific Key Performance Indicator (KPI) objectives. Only then were the IT decisions made regarding how to support these newly designed business processes. Notes Felsmann, We started with the processes that we needed to run a successful business and then looked at how we needed to support them. As a result, we choose Software AGs webMethods suite as our new business infrastructure.

This is a great example of the innovation being delivered to companies through the implementation of SOA and BPM technologies, said Karl-Heinz Streibich, CEO of Software AG. I have talked recently of the significant changes taking place in the IT market. This is one of the best examples I have seen in which innovative thinking is leading to excellent results for companies and their customers. We are delighted that Watt has chosen Software AG.

About Software AG

Software AG is the worlds largest independent provider of Business Infrastructure Software. Our 4,000 global enterprise customers achieve business results faster by modernizing, integrating and automating their IT systems and processes. As a result, they rapidly build measurable business value and meet changing business demands. Based on our solutions, organizations are able to liberate and govern their data, systems, applications, processes and services achieving new levels of business flexibility.

Our leading product portfolio includes solutions for high performance data management, developing and modernizing applications, enabling service-oriented architecture, and improving business processes. By combining our technology with industry expertise and best practices experience, our customers improve and differentiate their businesses faster.

Software AG has almost 40 years of global IT experience and over 3,600 employees serving customers in 70 countries. The company is headquartered in Germany and listed on the Frankfurt Stock Exchange (TecDAX, ISIN DE 0003304002 / SOW). Software AG posted total revenues of 621 million in 2007.

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