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Why fast forward to S/4HANA?

MARCH 6, 2024

Julio de Miguel Calleja
SAP Business Development Manager

In recent years, one of the most debated topics has been when we should make the switch to S/4HANA in our organization. No one dared to be the first, but no one wants to be the last to do it. However, there are other factors that can influence our decision.

At the beginning, when SAP introduced S/4HANA, a deadline was set: December 31, 2025. This date marked the beginning of the end for our old SAP ERP, which had been with us for the past 20 years. Although this deadline was extended to 2027 for certain versions of SAP ERP and even to 2030 if we chose to extend support.

27% of Spanish companies already have S/4HANA and 22% plan to implement it by 2024.

Initially, this deadline was the main driver of choice for a long time. The first versions of S/4HANA were not completely stable and the conversion processes were not fully fine-tuned. In fact, even SAP ERP versions were implemented in projects after 2015, the release date of the first S/4HANA version.

However, today, the conversion processes have been refined and the system, after several versions, works flawlessly, as expected from a product marketed by SAP. Therefore, we must now consider other factors when making decisions.

One of them may be the need to implement new functionalities. What is more convenient: to carry out the project in ERP and then convert, which could extend the timeframe and generate new uncertainties, or to convert first and then extend the functionalities? Everything will depend on the urgency we have on the new functionalities, but in principle, it would be better to convert first and implement later, with all the improvements offered by S/4HANA.

Another factor to consider is the improved user experience. With the new FIORI Launchpad, we can see our upcoming activities and key indicators at a glance, making our work easier and allowing us to focus on what really matters.

In terms of platform performance, the in-memory system of the HANA database makes our applications run faster, transforming our transactional system into a real-time analytical system and speeding up decision making.

Finally, let’s talk about mobility. All S/4HANA FIORI applications are responsive, meaning they adapt to any device, whether it’s a phone, tablet, laptop, or big screen.

With all of this in mind, our best option is to consider the conversion according to our business needs, rather than relying solely on SAP’s proposed dates. And if, after considering our options, we still prefer to push the dates out as far as possible, that is also a valid decision.

At IDOM, as SAP partners and experts in these conversions, we are ready to help companies throughout the conversion process, as well as in the implementation of different configuration options, by advising them on the best roadmap and conversion path selection drivers.