Innovation is the translation of new ideas into products. New ideas can come from anywhere, and the ability to execute ideas drives the success of SAP.

At SAP, the Product Innovation Lifecycle (PIL) addresses how ideas are captured, evaluated, and turned into products. And it describes how SAP manages products throughout their lifetime, from invention to transition, across multiple releases.

The PIL is driven primarily by the portfolio and solution management team – and involves virtually all of our lines of business, including marketing, sales, development, production, consulting, education, and support. The PIL defines how these functional groups work together to transform ideas into products that:

• Deliver superior customer value
• Lead the market
• Fulfill or exceed SAP's commitment to our customers
• Rapidly move to volume ramp-up

The PIL encompasses five phases: invent, define, develop, deploy, and optimize. The process standards defined for these phases are our standard operating procedures. Specific cookbooks, guidelines, and templates support adherence to PIL process standards in the five phases. In addition, the PIL specifies product standards that define the quality criteria for our products.

SAP Global Development documents adherence to process and product standards with supporting checklists, requirements specifications, and design papers. Formal handover meetings at the end of each PIL phase ensure that the activities defined by the checklists are complete. All product editions and releases are produced in accordance with our standards and the SAP qualification strategy.