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SAP Business Suite 7 - Migration to Cloud
A Guide To Migrating SAP ECC/ERP To S/4HANA
In today's fast-paced digital era, application modernization is essential for businesses to stay competitive. ERP systems like SAP ECC have long been the backbone of enterprise operations, but with the rise of cloud technology, it's time to rethink and upgrade. SAP S/4HANA, launched in 2015, offers a cloud-native, in-memory solution designed for agility and scalability. Yet, many organizations remain hesitant to migrate, fearing disruption and cost.
However, with SAP ECC support ending in 2027, delaying this move is no longer an option. The transition to S/4HANA isn't just an upgrade—it's a strategic shift that opens the door to innovation, efficiency, and a competitive edge. As a leader, guiding your organization through this transformation is crucial to future-proofing your business.
BY the end of 2027 SAP announced it will stop the maintenance of SAP Business Suite 7 core apps
including:
- ERP 6.0
- Customer Relationship Management 7.0
- Supply Chain Management 7.0
- Supplier Relationship Management 7.0 applications
- Business Suite powered by SAP HANA
benefits that the adoption of SAP S/4HANA brings
Any company considering outsourcing must follow a structured approach that includes various steps, including identifying your business needs and evaluating your current IT capabilities. Here's a step-by-step guide on how to outsource software development:
1
One source of truth
- No duplication of data, intermediate tables
- In-memory database with built-in functional & data intensive processing
2
New UI - Fiori
- Enhance productivity & adoption
- Reduce errors
- Save on training cost
- >5x improvement in system response time
3
Up to 90% drop in the duration of report execution
Quick data exploration/query & analysis
4
Reduction in Costs
- Open architecture
- Streamlined IT Landscape
- Lower TCO
THE ROADMAP
There are 3 approaches to the transition you'll take:
Greenfield Approach
The Greenfield approach involves a complete re-implementation of your SAP systems from scratch on the S/4HANA platform. This method provides the highest level of flexibility, allowing you to fully customize the software to meet your organization’s specific needs. However, it is also the most resource-intensive, requiring significant time and investment.
- Re-engineer existing processes to S/4
- Re-develop all systems customization
- Good for customers that are not fully content with current installation
- Substantial Change Management Effort as people will be reluctant to come out of their comfort zone (of knowing the system) and adopt new changes.
Brownfield Approach
The Brownfield approach is more of a “lift and shift,” where your existing SAP systems, such as ECC, are migrated to S/4HANA with minimal changes. This method maintains your current processes and customizations, making it a quicker and less disruptive option. However, it may not fully leverage the new features and capabilities that S/4HANA offers.
- Perform an in-place technical upgrade
- Remap selected data and processes
- Minimum business disruption - Since current processes are adopted, minimum impact is felt as far as end users and business transition is concerned
Hybrid Approach
The Hybrid approach combines elements of both Greenfield and Brownfield strategies. It allows you to selectively migrate some systems to S/4HANA “as is” while optimizing others to take full advantage of the new platform’s capabilities. This approach offers a balanced mix of flexibility and efficiency, catering to specific business needs while modernizing your ERP landscape.
- This approach gives a flexibility/opportunity to modify current landscape. It can be either consolidation of multiple clients (with business process harmonization) OR it can also be leveraged to migrate the business in in parts.
On-Cloud versus On-Premise option
1
SAP S/4HANA On-Premise (Customer or Hyperscaler Managed)
This classic on-premise solution can be managed in-house or by a cloud provider, giving the customer full autonomy over infrastructure and upgrades. It supports the complete S/4HANA functionality, extensibility, and configuration capabilities. The implementation process can follow any of the available approaches, with the project managed using SAP Solution Manager and Best Practices.
2
SAP S/4HANA On-Premise Managed by SAP (HEC)
This option provides a traditional on-premise setup with infrastructure hosted and managed by SAP or a hyperscaler, suitable for complex needs that exceed what private cloud offers. The customer maintains control over the pace of software upgrades, with the full scope of S/4HANA capabilities at their disposal. Implementation options include new setups, system conversions, or selective data transitions, with full customization and extensibility.
3
SAP S/4HANA Cloud, Private Edition
Combining the benefits of cloud with the flexibility of on-premise, this option allows existing SAP ECC customers to transition to S/4HANA while retaining their customizations. Hosted on dedicated cloud infrastructure by SAP or a hyperscaler, it offers a subscription license via RISE with SAP. Upgrades are managed by the customer, with full control over timing, and the scope includes full S/4HANA functionalities across 64 countries and 25 industries. The implementation can be greenfield, system conversion, or selective data transition, guided by SAP Activate methodology.
4
SAP S/4HANA Cloud, Public Edition
This is a pure SaaS public cloud option, ideal for new customers seeking a full cloud experience with regular, automated upgrades. It operates on shared public cloud infrastructure managed by SAP, offering a subscription-based license through RISE with SAP or GROW with SAP contracts. The public edition is tailored for core ERP functions across 59 countries, with extensibility through in-app tools and SAP’s Business Technology Platform. The implementation follows a greenfield approach using SAP Central Business Configuration and is supported by SAP Activate methodology.
YOUDIGITAL + SAP = ❤️
YouDigital offers SAP Consultants and Developers in Body Leasing model
- SAP Developers
- SAP Consultants
- SAP Functional Leads
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