The UAE's Emke Group will invest Dh20 million in SAP ERP (enterprise resource planning) software to help streamline and integrate its IT systems ahead of a foray into e-commerce and a planned expansion of its regional retail presence.

An agreement was signed by Yousuf Ali, Emke Group's managing director, and Essam Enany, president of SAP Arabia, the exclusive regional distributor for SAP AG of Germany, which specialises in inter-enterprise software solutions.

SAP Arabia is the exclusive regional distributor for SAP AG Germany in 19 Middle Eastern countries stretching from Morocco to Iran.

Emke Group, with its flagship Lulu hypermarket and Al Falah Plaza, will be venturing into e-commerce with shopping pages, home delivery systems and loyalty programmes.

SEAL InfoTech will be the implementation partner in this e-commerce venture, Ali said. SAP ERP software allows companies to increase the efficiency of their administrative functions, SAP representatives said.

With interests in retailing, export, import, and the distribution of food stuffs, the Emke Group employs more than 10,600 people from over 25 countries and is one of the largest Indian-owned corporate groupings operating in the Gulf region.

"This alliance will definitely work as a catalyst for us to be ahead of current market needs and position us in terms of future scalability for enterprise growth," Ali said, after the signing.

"SAP has a 55 per cent market share worldwide in the ERP business and our clients are growing across the Middle East," Enany said.