A complete guide to SAP S/4 HANA implementation

SAP ECC, or its older versions, form the basis of functioning of most organizations. SAP will support ECC until 2027 under a standard contract, with the option of extending it up to 2030. But what next? It is time to make a switch to SAP S/4HANA, SAP’s latest ERP offering for large enterprises.

Digital Transformation is inevitable for enterprises. However, while choosing to implement critical changes to the current system, certain factors must be considered, such as sustaining business continuity and optimal workflow. Along these lines, it is undoubtedly worth approaching the SAP S/4 HANA Implementation by the book – following the SAP S/4 HANA usage steps predictable with the SAP system. It is additionally critical to pose the accompanying inquiry: can such a change encourage advancement?

Time Is of the Essence

We can stand by until the last second with the choice to make a switch over to SAP S/4 HANA. But, this might not be the right decision. Why? The time cushion until 2027 may appear to be adequate. However, looking at it from the perspective of the time needed to assess an organization’s circumstances and its readiness to embrace S/4 HANA along with the time required for the actual implementation, we may wind up hazardously near the deadline. Delaying the S/4 HANA implementation by a few years will make it hard to line the works with SAP Implementation Services providers responsible for your company’s digital transformation. The critical question here is: can your organization afford to wait until the last moment to leverage the latest technologies, which your competitors are already using?

The first step to SAP S/4 HANA Implementation

When following the SAP S/4 HANA implementation guide, every organization running SAP systems and planning a transformation need to go through the first phase of the implementation – encountering the capabilities offered by S/4 HANA with its business processes.

Various solutions are available for such massive projects of implementing SAP systems. Our SAP S/4 HANA execution guide empowers the profound examination and appropriate conveyance of this cycle over the long haul. Most importantly, our primary objective isn’t just to adjust the framework to the organization’s business cycles; but, to plan its capacities such as accomplishing business objectives substantially more viable.

Due to this reason, we treat the first phase of transformation to S/4HANA as a different offer, whose eventual outcome is a complete roadmap, outlining how a business should approach the conversion in tandem with the SAP S/4 HANA implementation guide. This phase also includes gathering information such as S/4 HANA features, cost and time required. 

The first phase of SAP S/4 HANA implementation includes several key steps

                                                                  SAP S/4 HANA Implementation Steps

Step #1: Business Readiness Check

A standard readiness report needs to be generated after a technical and business analysis to get an idea of its readiness for the planned implementation. The project team uses this report to identify the right path for the SAP S/4 HANA implementation. 

Step #2: Business Requirement Check

This step involves generating a list of all the required technical and business changes in the current SAP ECC System. Understanding these progressions and how the cycles are executed in the new environment is critical when settling on the path to S/4 HANA implementation. This crucial step addresses the development team’s question: does the new environment support the current processes?

Step #3: Verifying the ABAP Code 

This step involves checking the ABAP code for accuracy and compatibility with the SAP S/4 HANA programming standards; this incorporates the valuation of adjusting SQL queries in ABAP projects to the current norms and necessities, as characterized by S/4 HANA. Figuring out which advancement arrangements are utilized to create business measures (precision relies vigorously upon the extent of time accessible for this data’s assortment).

Step #4: Environment Architecture 

Because of the data gathered during the readiness check and practical workshops with the client, BASIS advisors along with the in-house IT division will investigate the accessible framework components and, on this premise, propose the objective climate design at the degree of SAP S/4 HANA applications. The client will utilize the particular design during plans with the Equipment Service Provider to fabricate an actual environment architecture (hardware, OS, LAN).

Which conversion path to choose?

After equating the S/4 HANA capabilities with the organization’s requirements, it’s time to pick a real-world transformation scenario. SAP offers two basic options for S/4 HANA implementation: Brownfield and Greenfield. Both depend, from the viewpoint of monetary abilities, budget limit, and confirmation of long haul strategies and, on the other, on the business’s current SAP ECC framework.

Brownfield Implementation

A typical brownfield SAP S/4 HANA implementation is a minimalistic approach requiring little redesign of the business processes.

The Benefits of Brownfield Implementation Include:

• Reduction in implementation time
• Reduced costs
• Business processes remain unchanged
• Access to new features of S/4 HANA: SAP Fiori, HANA database, and Embedded Analytics

Greenfield Implementation

A typical greenfield SAP S/4 HANA implementation primarily focuses on a long haul approach taking into account the new offerings from SAP S/4 HANA to achieve a competitive advantage.

The Benefits of Greenfield Implementation Include:

• Redesigned business processes
• Enhanced system capabilities
• Increased competitive advantage
• Complete Digital Transformation of the business

Why choose a SAP S/4 HANA Implementation now?

• Your competitors currently on SAP ECC either already have transitioned to or are in the process of transitioning to SAP S/4 HANA. It makes perfect sense to jump the bandwagon now. 
• With ample time on your hands, you have the opportunity to assess as to which scenario will best fit your business use case within the proposed budget. Your new S/4 HANA implementation must support your business processes for the coming few years.
• Among the top SAP implementation partners in the USA & UK, we help enterprises leverage the advanced capabilities of S/4 HANA by upgrading to the latest SAP systems.

Also, after successfully implementing SAP in your organization, if you need to upgrade to newer version of SAP, we have a separate blog for you. 

Originally published on Apr 16, 2024