SAP S/4HANA puts older SAP ERP systems easily in the shade. It enables improved decision-making and innovative business models. It ensures sustainable processes and increases productivity thanks to Fiori interfaces. But there’s still one thing that many companies worry about: expensive errors during the transition.

If you want to stay competitive in the digital age, you require this next-generation technology. But many enterprises are unsure of the best way to make the transition. The move to SAP S/4HANA is a sizeable initiative that changes the way enterprises work and delivers enormous potential. However, it doesn’t have to turn your business upside down.

When migrating to the new business suite from SAP, knowing what to expect can make all the difference. With sufficient preparation, effective change management, and support from available tools and resources, you can ensure your implementation project runs quickly and smoothly. How to make the transition to S/4HANA?

GREENFIELD APPROACH

Your new S/4HANA system will be constructed on a “greenfield site,” parallel to your current system. This variant will motivate your company to rethink long-established processes (business process re-engineering) and throw off excess ballast. This option will also enable you to develop new business models. In addition, your specialist departments will reap the benefits of S/4HANA almost instantly.

BROWNFIELD APPROACH

Do you like the idea of continuing to work on established foundations? If you really want to retain tried-and-tested processes and value chains, you should consider a transition that essentially involves converting an existing SAP ERP system. Even if you actively use numerous Z programs and operate multiple branches, conversion could well be your best option. That said, the system should fulfill a few technical requirements – creditors and debtors, for example, should already have been converted to business partners.

MIXED APPROACH

There is a third option for transitioning to S/4HANA. This mixed approach – comprising the greenfield and brownfield approaches – takes the best of both worlds. The old system will be retained and implemented on SAP S/4HANA, after which the processes can then, if necessary, be refashioned within the new system. This represents a significant advantage over a purely brownfield approach, in which you can adjust and adapt existing processes only retroactively and to a limited extent. If you desire, the HANA database can contain not only date-specific data but also historical data.

WHICH APPROACH TO TAKE?

The three approaches may differ in method and technique, but not in outcome. The financial outlay and timeline are also comparable – at least if you consider the transition as an end-to-end process, from your initial considerations concerning SAP S/4HANA to the complete transitioning of your company and processes.

The size of the project depends primarily on the number of system sections, users, accounting areas, sales organizations and rollouts. The degree of utilization of the standard SAP system – in other words, the number of adjustments (including Z programs) – is also a factor. The available in-house resources in the specialist and IT departments also have to be taken into account.

YOUR ROADMAP FOR S/4HANA TRANSITION

There’s no one-size-fits-all solution. We can help you develop a strategy that fits you best. This begins with the value check, often followed by a roadmap and/or series of strategy workshops. The outcomes define exactly what kind of transition is to take place and how; and planning budgets, times, milestones and ROI.