In exciting news for Mercedes F1 fans and the tech world alike, the Mercedes-AMG PETRONAS Formula One Team has announced a groundbreaking multi-year partnership with SAP SE, a global leader in enterprise application software. Starting in 2024, SAP will become an Official Team Partner, bringing its cutting-edge technology to the forefront of Formula One to enhance operational efficiency and unlock crucial data insights for performance gains.
This strategic alliance will see the Mercedes-AMG PETRONAS F1 Team leveraging SAP S/4HANA Cloud, private edition, as the cornerstone of its technological infrastructure. This powerful platform will enable the team to explore the vast potential of artificial intelligence (AI) and cloud solutions offered by SAP. The aim is to revolutionize decision-making processes, optimize resource allocation, and future-proof their entire IT ecosystem, all critical factors in the high-stakes world of Formula One.
Driving Efficiency and Mastering the Cost Cap Challenge with SAP
Efficiency is paramount in Formula One, where every millisecond counts. The partnership between Mercedes-AMG PETRONAS F1 and SAP directly addresses two key areas: mastering the complexities of the Formula One cost cap and optimizing the team’s intricate supply chain. The cost cap regulations in Formula One impose strict limits on team spending per season, with significant penalties for exceeding these limits. Navigating this financial landscape requires precision and foresight.
To tackle this challenge, the Mercedes-AMG PETRONAS F1 Team will implement SAP S/4HANA Finance. This solution is designed to enhance resource allocation, drive savings, and ensure efficient budget utilization. By embedding SAP Business AI technology, the team gains the ability to forecast costs accurately, predict final budget requirements, and streamline both their supply chain and inventory management. This intelligent approach to financial management is set to provide a competitive edge in an era of strict financial regulations.
Cloud Innovation and Data-Driven Decisions for Mercedes F1
Operating at the pinnacle of motorsport demands state-of-the-art infrastructure. Mercedes-AMG PETRONAS F1 Team is proactively adopting SAP S/4HANA Cloud, private edition, to establish a secure and future-proof cloud environment. This move towards cloud technology underscores the team’s commitment to leveraging the latest advancements for operational excellence.
Furthermore, the team will utilize SAP Build solutions and the SAP Business Technology Platform. These tools are crucial for implementing a transparent and intelligent enterprise architecture. By consolidating data and systems from diverse sources across the organization into a unified view, Mercedes-AMG PETRONAS F1 aims to significantly reduce lead times for critical car components. This streamlined process is vital for ensuring a seamless flow of parts and upgrades throughout demanding race weekends, directly impacting on-track performance and car reliability.
Shaping the Future of Automotive Innovation
Julia White, member of the Executive Board of SAP SE and chief marketing and solutions officer, emphasized the significance of the partnership: “Formula One is one of the most technologically innovative sports globally, where even minor improvements lead to major outcomes. The demanding conditions of Formula One racing offer a powerful stage to demonstrate both skill and exceptional engineering.” She further added, “Beyond the race day excitement, a vast operation runs behind the scenes. SAP is excited to collaborate with the Mercedes-AMG PETRONAS F1 Team to ensure their operations are as precisely tuned as their high-performance cars.”
Toto Wolff, CEO and Team Principal of the Mercedes-AMG PETRONAS F1 Team, also shared his enthusiasm: “We are thrilled to welcome SAP as an Official Team Partner. We share a common heritage and a dedication to innovation and continuous improvement, which will significantly contribute to our racing performance. SAP is a world-class leader in their industry, and we can’t imagine a better partner to assist us in boosting our efficiencies in 2024 and for the years ahead.”
This partnership extends beyond the racetrack, holding the potential to establish a new benchmark for the automotive industry. Formula One serves as an incubator for cutting-edge automotive innovations. Together, SAP and the Mercedes-AMG PETRONAS F1 Team are set to pioneer advancements derived from Formula One insights, which will ultimately benefit and reshape businesses across SAP’s extensive customer network.
About the Mercedes-AMG PETRONAS F1 Team
The Mercedes-AMG PETRONAS F1 Team is the factory team of Mercedes-AMG, competing at the highest level of motorsport – the FIA Formula One™ World Championship. Formula One is unique, blending exceptional teamwork, advanced technology, constant innovation, high-performance management, and world-class driving talent. Teams develop and race cars against fierce competition in a high-pressure environment across a global season spanning over 20 races. Based in the UK, the team comprises over 1,000 dedicated individuals focused on designing, developing, manufacturing, and racing cars for drivers like seven-time World Champion Lewis Hamilton and Grand Prix winner George Russell. Their track record includes seven consecutive double World Championships (2014-2020) and a record eighth consecutive Constructors’ Championship in 2021, solidifying their place as one of the most successful teams in Formula One history.
About SAP
SAP’s core strategy is to enable every business to operate as an intelligent and sustainable enterprise. As a market leader in enterprise application software, SAP empowers companies of all sizes across all industries to achieve peak performance. SAP’s customers generate 87% of total global commerce. Leveraging technologies like machine learning, IoT, and advanced analytics, SAP transforms businesses into intelligent enterprises. SAP provides organizations with deep business insights and fosters collaboration, helping them maintain a competitive edge. SAP simplifies technology, allowing companies to adopt software seamlessly. Their comprehensive suite of applications and services supports business and public sector clients across 26 industries worldwide, facilitating profitable operations, continuous adaptation, and significant impact. With a vast global network of customers, partners, employees, and thought leaders, SAP contributes to making the world run more efficiently and improving lives.
