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PRICE OUTCOMES

All podcast episode summaries matching PRICE OUTCOMES — aggregated across every podcast we track.

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Quotes & Clips tagged PRICE OUTCOMES

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Test-driven development is finally back thanks to AI

Do you still remember in a when I was a computer science student where the Google guys came in in a in a lecture, and they said, like, hey. I can go home at 5PM because I wrote my tests. And, of course, this was non you still remember that, like, test first or test driven development? It's coming back. The reality is nobody did it. At least I never did it because, hey, it was so much more fun.

Philipp Herzig - CTO of SAP

Disaggregated data is the biggest barrier to AI adoption

Usually, I say the the the primary problem, as I said, is is is the problem of a data. Because most of the time, the data is, of course, very disaggregated in a in a in a company. Either because you made certain decisions, how you purchased, solutions in the past, or you did an m and a. So you acquired a company naturally. Of course, they bring a very different IT system landscape as well and so on and so forth.

Philipp Herzig - CTO of SAP

Enterprise AI fails at scale, not in demos

You can build two years ago, right, everybody build a rack service. And you could easily, with a POC, blew off everybody's, you know, the CEO's socks and, like, look at how easy it is to build a chatbot on 10 documents. But that but but SAP and and also these large customers, right, they always have a problem of scale. Okay. What do you now with 100 documents? Well, it becomes a little harder. A thousand documents becomes a different engineering challenge.

Philipp Herzig - CTO of SAP

Quantum computing could solve real logistics problems someday

What we are focusing on is the optimization domains, obviously. And then if you go into, think logistics, traveling salesman problems, knapsack problems, like all these kind of usual, hard problems in computer science, These are interesting problems where we where some peep where we believe that could be interesting for the future, for maybe different kind of computing paradigm to solve for. Because if you can obviously load your trucks, right, and the and do the route planning even more, the the outcome is, say, the emissions go down, right, and you save a lot of money.

Philipp Herzig - CTO of SAP

SAP is shifting from seat-based to consumption pricing

I mean, for the most part, SAP software is seed based licensed, today with a few exceptions like a Conker or Fieldglass, for example, or the business network. But, you know, very clearly with AI, it was very clear for us that, you know, step by step, it will go towards this consumptive world. At first, consumptive. And then maybe in the next step, once we have more verifiability in the system, then also towards maybe an outcome based license model, to, for example, what Sierra is doing.

Philipp Herzig - CTO of SAP

Agent mining captures the tribal knowledge in employees' heads

I always call this the tribal knowledge, the stuff that is not in the system stored somewhere that just lives in people's heads, so maybe in Slack channels, maybe in Teams channels, maybe it was just a discussion on the phone. So how can you drive a decision from that? And then so the question is the agent needs to come back, ask you for input. Now you wanna store that. And now what we do, in the past, we called this process mining. Now we call it agent mining because it will record all these decision traces, these contexts of what the users are entering into the system.

Philipp Herzig - CTO of SAP

SAP works because customers want outcomes, not technology

What hasn't changed is what customers are seeking for, which is outcomes, right? Outcomes and return on their investment in order to get the things done. And, of course, now AI is an amazing technology that, again, helps to get more things done in the enterprise.

Philipp Herzig - CTO of SAP

LLMs cannot do real predictive forecasting in tables

Now if you want to do these predictions, quite frankly, then the challenge is large language models are not made for this. The way how they, you know, generate just one token after another essentially in a sequence to sequence modeling. I mean, they're language models. So that and they do this phenomenally well. But if you still wanna do these predictors where you have to go back to these classical machine learning approaches, right, you use XGBoost or AutoGluon and and many of these, AutoML approaches.

Philipp Herzig - CTO of SAP

Every worker gets uplevelled like a junior dev with Claude

Like like everybody who works today maybe in the finance shared service center. It's for me the equivalent of a junior developer today with Cloud Code. So now they actually become they've got one level higher. They're now not so much anymore, tasked with then writing a lot of the code. With with with codex or with Cloud Code. But they actually then start supervising the code, give feedback, right, and capture, of course, the essence of what the code should look like and then, you know, do much more review and then rather think about what to build next.

Philipp Herzig - CTO of SAP

Never pitch the technology — start with the business problem

What I learned actually, and I did this mistake probably more than anybody else in this world, is to kind of pitch the technology. And this is completely wrong. When I sit together with CFO or a CIO, the first question is like, hey. What's top of mind for your business? What are what are current what are your current challenges? And then work backwards to the technology. And that always I always found that this is the most useful approach.

Philipp Herzig - CTO of SAP

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