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SAP – Start the journey to S/4HANA or wait?
This is a question that concerns many existing SAP customers. SAP has become indispensable in many companies. However, the existing system landscape is outdated and needs to be modernized. Switching to S/4HANA is not an easy step, but it is usually worth it. Torsten Beck, HEAD of SAP at 29FORWARD, explains why the switch is necessary and beneficial.
In everyday project work, you almost only come across existing SAP customers. Almost every company of a certain size uses SAP. Anyone starting out today cannot avoid S/4HANA. It offers convenience, better analyses and creates the basis for digitalization. At some point, everyone will ask themselves the question: when is the right time to make the switch? So why hesitate?
21 years ago, I was about to switch from R/2 to R/3. A neighbor of mine, an accountant with R/2 experience, was skeptical. Too many new functions, too confusing. Nevertheless, the system was converted. Two years later he praised R/3 – R/2 was forgotten.
Even today, I hear similar concerns about S/4HANA:
The systems are running well. A lot has been adapted. In-house developments have been tailored to the business model.
What will happen to my existing solutions? Will we lose touch with innovations? How important is it to react quickly to changes?
The fact is:
The switch will be mandatory. SAP will discontinue support for many products at the end of 2027 (e.g. Business Suite, BW 7.5). As SAP projects often take two years, planning should begin in 2025 at the latest. If you start too late, it will be difficult to find good consultants. My tip: start early.
What are the specific benefits of S/4HANA?
The in-memory database ensures enormous speed. In a world where the customer is just a click away, every second counts.
Complex data models can be simplified in SAP BW. InfoCubes could become superfluous.
More flexibility, faster implementation, less complexity – that’s the benefit.
Example Finance & Controlling:
Formerly many tables, today only one central table. Data is only saved once. This speeds up reports – without SAP BW replication. A “single source of truth” instead of many tables.
The business partner (BP) has also been centralized. Previously distributed in different systems, now a central object. This improves data quality.
And:
SAP provides tools that make the changeover easier – even with a lot of customizing or in-house developments.
S/4HANA opens up many new scenarios. Which of these make sense needs to be examined individually.
My advice:
Re-evaluate old in-house developments. What made sense in the past may be outdated today. Be open to innovations – they often bring real added value.
I hope this article has given you an introduction. My team and I will be happy to advise you on all aspects of S/4HANA.
SAP – Start the journey to S/4HANA or wait? This decision should not be postponed. Don’t wait too long – start your journey in good time.