Market position expanded
Software AG has reorganized its marketing and sales structure as well. In accordance with the new concept of market-oriented business lines, the central marketing department has been dissolved and integrated into the two business units. This makes it easier for our marketing specialists to match their activities efficiently and effectively to the requirements of the Enterprise Transaction Systems and XML Business Integration business lines. All marketing programs are planned and implemented in close cooperation with our regional offices.

In order to align Software AG’s portfolio even more closely to customer needs, we internationalized our Customer First program. This ensures that customer orientation and market know-how is consolidated at all levels, and that customer requests can be implemented quickly. A new world-wide Software AG Customer Knowledge Base helps in optimally offering our customers the knowledge of our globally networked corporation.

Software AG's Internet presence received a makeover in 2004 to reflect both the new corporate identity and the business strategy. Moreover, the department supported marketing activities such as Software AG user groups, product presentations, participation in seminars and conferences, and trade show presences. All these activities serve to provide the market with comprehensive and reliable information regarding Software AG products and solutions. To complement our own sales activities, we expanded our partner network, with further growth in this are planned.

Intensification of PR activities
In order to enhance the visibility of the company cost-effectively among our customer base, and with the general public, we separated Public Relations and Investor Relations. This split immediately yielded measurable success. The circulation of articles reporting on Software AG increased by 800 percent in Germany. Whilst previously, media coverage had been handled mainly through local and online media, this base has now been expanded to include opinion-forming economic key media. Financial Times Germany, Frankfurter Allgemeine Zeitung, and Handelsblatt now report on the company on a regular basis. Leading agencies such as Reuters, Dow Jones, Bloomberg, and dpa-AFX provide world-wide coverage of Software AG. Moreover, through its regional structure, the company is in contact with key media globally. The TV presence of our CEO at CNBC, Bloomberg, and the Spanish financial broadcasting station „Encuentras a fondo“ emphasizes the international attention enjoyed by Software AG.

Optimized top management structures
We have closely linked marketing and sales, as well as research and development. To this purpose, we modified our internal management structures during the year under review. The central Chief Technology Officer was replaced by two Vice Presidents. They are responsible for R&D in the Enterprise Transaction Systems and XML Business Integration business lines respectively. Marketing and product management is structured in the same way. All four Vice Presidents are part of the company's extended management team, and therefore directly involved in the Executive Board's decision-making processes.

Next in the leadership pyramid is the management team, with representatives from the leading six countries, and the „Direct Reports Board“, which includes the 45 leading employees world-wide. These managers, 60 altogether, each visit five customers per quarter, therefore reinforcing the close link between market and strategy.