The True State of SAP S/4HANA in 2022

"By my estimate, more than 89% of the S/4 transformation is still to be done."

As I was preparing for a recent webinar, I was looking for data on the current state of S/4HANA adoption from ECC customers, and what I found was quite interesting.

The Unforeseen Challenges of SAP S/4HANA Implementation

SAP customers are moving to implement SAP S/4HANA, SAP’s latest technological advancement, to take advantage of improved user experience, streamlined transactions, real-time data, table simplification, flexible APIs, and new functionality. As a suite of cloud-based applications, it’s the next step in Enterprise Resource Planning (ERP), which make migration an attractive option.

SAP S/4 HANA has continued to evolve over the last few years since it first launched, which has inspired some business to take a wait-and-see approach. The hesitancy of businesses to jump in with the latest technology is also linked to the reported challenges that business face when implementing SAP S/4HANA. Despite the challenges, more businesses are moving forward with implementation, due in large part to SAP’s end-of-support deadline in 2025 on legacy software like ECC.

SAP S/4 HANA Implementation in Business

SAP S/4 HANA leverages the in-memory platform of the HANA system, including its columnar data storage mechanism. The result is real-time computation capabilities and real-time analytics. For this reason, many companies are making the transition; however, the requirements cut-off is coming up quickly. It is important for businesses to be ready.

For those who haven’t heard, SAP S/4HANA is the successor to previous iterations of this important ERP, such as SAP R/3. This software package has been optimized for the in-memory database of the HANA system. Transitioning to this new system is going to lead to some major changes and it is important for large enterprises to be ready.