3 Reasons Why You Should Move to SAP S/4HANA Now
(3 min read)
SAP’s 2027 deadline, as just announced by SAP, for supporting legacy software might seem a long way off, but that doesn’t mean you should wait to move to SAP S/4HANA. In fact, there are plenty of reasons why a migration now can save you time and money – here are 3.
Moving to SAP S/4HANA isn’t a decision to take lightly. The overall cost is an obvious consideration, but beyond that, a transition involves different departments, the need to train colleagues on new software, and the allocation of internal resources. No wonder so many companies procrastinate this decision. Moreover, SAP will support legacy ERP solutions until 2027. What’s the hurry, right?
Waiting until the last minute might be easy, but waiting too long is sure to exacerbate an already intensive process. Here are 3 reasons to migrate to SAP S/4HANA now.
1. Full Product Maturity is Here
With any new product, there’s a hesitancy to do the transition too early. I can understand the concerns. Is the product buggy? If I need additional help, are there enough trained experts available? I can tell you that those concerns are no longer barriers when migrating to SAP S/4HANA.
Since 2018, the suite has achieved a high level of product maturity. We now have a library of best practices. That means everyone in the SAP ecosystem – SAP support and SAP Partners, like NTT DATA Business Solutions – are well trained on how to help customers.
2. Avoiding the Time Crunch
Take a step back and consider a few simple facts: First, SAP will stop supporting old ERP systems in 2027. Second, there is limited number of knowledgeable consults able to guide companies to a successful SAP S/4HANA migration. Third, there are many companies using SAP software and procrastinating the decision to move to this “new” ERP platform, SAP S/4HANA.
That brings us to a simple result: With every month that a company waits to move to SAP S/4HANA, it becomes increasingly likely that there will be a transition wave starting in, say, 2021 that leads to a bottleneck of supporting SAP Partners.
With that in mind – it might sound impossible – we are already facing a time crunch until 2027.
3. No Need for a Disruptive Move
Humans are creatures of habit. Not everybody likes change. What is good about transitioning to SAP S/4HANA now is that you have the flexibility to continue using, let’s call them, “old” ERP functionalities, even after migrating. SAP Human Capital Management (HCM) module, a tool for HR professionals, is such a module that is not yet planned on SAP S/4HANA but can be carried over from older ERP solutions.
And Now? Move!
Next to the compatibility of single functions, there are mainly three different scenarios for how a company can move to SAP S/4HANA. There is a New Implementation (also called Greenfield Approach), with an initial or historical data load. Another approach, for a company that wants to convert from an existing SAP Business Suite, is something called a System Conversion (Brownfield Approach). The Selective Data Transition is another scenario, which is about a consolidation of an already existing system landscape into one central SAP S/4HANA system.
Every scenario has to be adapted to the specific customer and therefor modifications of these scenarios are possible. As an example, regarding the system conversion, we have developed an unique approach, called the conversion factory, which makes it possible to manage a conversion with both, fixed time and budget.
To sum it up: Moving to SAP S/4HANA is no easy decision. I’ve provided 3 reasons why moving now would be a clever and forward-thinking decision. The truth is, moving to SAP S/4HANA is not a question of if, but of when… and the answer must be now. We know what we are talking about – we have already completed 150+ successful SAP S/4HANA transitions. As an SAP Partner for more than 30 years, we have gained the experience necessary to identify the best solutions for companies.
Key Take-Aways
Why moving now is beneficial for you:
- High product maturity
- Prevent time pressure
- Ensured stability for your daily operations
Interested in knowing more about SAP S/4HANA?
Are you convinced that you want to move to SAP S/4HANA now? Not yet? Do you need more information for making this decision? Whether you like to know more about the transition scenarios or about the product itself, you can find that information on our detailed product page.