Optimizing SG&A Costs: A Tale of Two Giants

In the competitive world of technology, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Over the past decade, Dell Technologies Inc. and SAP SE have showcased contrasting strategies in optimizing these costs. From 2014 to 2023, Dell's SG&A expenses fluctuated, peaking in 2019 with a 150% increase from 2014. Meanwhile, SAP SE maintained a more consistent approach, with a steady rise of approximately 112% over the same period.

Dell's Dynamic Approach

Dell's expenses saw significant spikes, notably in 2018 and 2019, reflecting strategic investments and acquisitions. However, a downward trend post-2019 suggests a shift towards cost efficiency.

SAP's Steady Path

SAP's expenses grew steadily, with a notable 20% increase in 2022, indicating a balanced approach to growth and cost management.

Both companies faced challenges, with missing data in 2024 for SAP, highlighting the dynamic nature of financial reporting.