Constant innovation, undeterred customer focus, and a deep understanding of the changing business paradigm have made SAP solutions the top preference for global organizations. However, with SAP deciding to stop its mainstream support for SAP ERP software (v6.0) by 2027, the existing customers using SAP installed in their systems might face difficulties with adopting SAP S/4HANA. But does that mean they should step back from adopting it? The answer is no.
According to a survey by Americas' SAP Users' Group (ASUG), 90% of the companies that
migrated to SAP S/4HANA reported a boost in their productivity and
profitability.
Hence, this conversion to SAP S/4HANA must be done - but
with careful preparation and planning.
Below are some top considerations that should be taken
care of before migrating SAP S/4HANA.
Facts to Consider
Before SAP S/4 HANA Migration:
Comprehensive Analysis
of Business Process
Businesses are required to determine the best migration
approach by performing a comprehensive business process analysis. It is
critical to identify the areas requiring automation, optimization, or
re-engineering.
Suppose a large manufacturing company faces stock
shortages, increased costs and delays due to its manual inventory tracking
process. But as soon as it migrates to SAP S/4HANA, it unlocks its ability to
automate the whole inventory management process, resulting in real-time
visibility of inventory levels and improved accuracy.
Fully-updated
Infrastructure
SAP S/4HANA requires the latest hardware and
infrastructure to run, which means that businesses must focus on the readiness
of their infrastructure to support the new platform. This may require
additional investment to achieve the essential performance levels.
If a company overlooks this factor before SAP S/4HANA
migration, it could result in making their system slow, having limited
functionality, and being prone to crashes. On the other hand, upgrading its
infrastructure would lead to faster processing and improved performance.
Data Quality and
Cleansing
Conducting a thorough data quality and cleansing exercise
is crucial before migrating to SAP S/4HANA.
According to a survey by IDC, 87% of organizations
witnessed a great improvement in their data analysis capabilities after the
migration process.
However, poor data quality could lead to system downtime,
errors, and reduced productivity. If a business doesn't pay much importance to
data quality exercise, migrating to advanced SAP solutions like S/4HANA could
lead to lost sales and reduced customer satisfaction. However, a full-fledged
data cleansing would result in increased productivity and data accuracy.
Licensing and Cost
Licensing costs can be significant for a robust platform
like SAP S/4HANA. If a business doesn't budget for the licensing costs
adequately, it might make the project run over budget and cost-cutting in other
areas. Thus, a company must evaluate its licensing needs and build an adequate
budget for the transition.
Smart Change Management
It is one of the most critical aspects of the migration
process. Developing a comprehensive change management plan helps prepare all
stakeholders for the changes.
If a business proceeds with SAP S/4HANA migration without any change management plan, it could result in inadequately trained employees, confusing operations, reduced productivity and eventually increased employee buy-in.
Trust on Industry
Experts
If you are considering migrating your existing SAP ERP
Software to S/4HANA or want to start fresh without any hassle, Uneecops
Business Solutions can be a one stop solution for your such needs.
Our experienced SAP experts have a proven record of
helping your business achieve a successful transition. Uneecops is also a
member of United VARs, which
is an SAP Platinum Partner. So, contact us today to get an exclusive demo and
consultation and learn how we can
help your business utilize the powerful features of SAP S/4HANA.
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