Enabling Business Transformation with SAP S/4 HANA | SAP S/4 HANA Business Solution

SAP S/4 HANA is an evolving solution which has received much publicity. Customers are now starting to see what SAP S/4 HANA means to them. Perhaps the most common pre-conception is that SAP S/4 HANA training is the next “upgrade” to the old SAP Business Suite too which is coming into its tenth year. Due to the history of the extremely successful SAP R/3, customers, in the main, are content with the approach that every few years or so an upgrade will need to take place to improve stability and enable future functionality.One of the first questions asked by the experienced SAP customer is “how long will it take to upgrade to SAP S/4 HANA?”, followed by a question relating to the cost. Unfortunately that is the wrong question to ask. SAP S/4 HANA brings the ability to re-shape and position for your IT systems within your business processes and therefore it is time to add more value and use it to provide transformation.

SAP S/4 HANA provides a new way of working

There are a number of articles around the new functionality that is held within SAP S/4 HANA. With the SAP Fiori (Learn from SAP FIORI training) front end and the inclusion of embedded analytics, the days of transaction codes are past. A business process from an IT point of view could currently be something like the diagram below:

We have seven steps, four separate IT tools to perform them and the time to perform these tasks could be significant due to performance issues. In the world of SAP S/4 HANA, all of this can be done from a single SAP Fiori tile. A tile can represent many steps within a business process and the user can navigate to other tiles, some of which may be analytical and others data entry. All of the data is real time and the SAP Fiori screens provide a simple intuitive user experience that reduces the time spent performing basic tasks.

How to get to SAP S/4 HANA from current business suite solution

Assuming you are looking to move a single Business Suite solution to a single SAP S/4 HANA solution, there are two possible approaches that you can take:

·         System conversion

·         New implementation

The system conversion aligns with the upgrade methodology that customers may be more familiar with. However, a system conversion will always require some form of functional changes as the current data needs to be converted to the new data models. In order to fully utilize the new functionality and approach within SAP S/4 HANA, the system usage, within business processes, will need to be modified. Therefore, any move towards SAP S/4 HANA cannot be seen as an IT project as previous SAP Business Suite upgrades have been. Instead, the move to SAP S/4 HANA should be seen as a business-driven project to drive benefits both to processes and users.

70% of the SAP HANA (Learn HANA database from SAP HANA training) customers have followed the new implementation approach. The common reason for this choice is that customers want to remove unwanted code and bespoke processes and try to align to the new functionality within SAP S/4 HANA. Starting with a clean and simple solution is a very attractive proposition for many customers. In some cases, the additional cost of the new implementation is not that significant when compared to a system conversion.

Get value from SAP S/4 HANA

This is one of the most common questions. However, there is no one size fits all answer. Each customer is unique and will have a number of interfaces in and out of SAP and therefore need to internally review SAP S/4 HANA to see where benefits can be realized.SAP provides free trials of SAP S/4 HANA which offer a high level overview of the solution (See SAP training overview to know what SAP offers). However, most customers will require more detail above and beyond the generic processes within the trial. Therefore, some form of proof of concept or proof of value needs to be undertaken. These exercises can be slightly more expensive than customers may expect.

Performing a traditional upgrade proof of concept for a SAP Business Suite solution can take a few weeks, however an SAP S/4 HANA proof of concept will take slightly longer. Once the system is up, various migration cycles will need to be performed to enable the system so business users can start to analyze the solution. Traditionally, the current test schedule would be run on the upgraded box to see if any issues occurred as part of the upgrade.

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