Embracing the new normal – what you need to know about SAP S/4HANA

Category: SAP S/4HANA Posted:Sep 19, 2020 By: Alvera Anto


We’re living through times of unprecedented disruption.

The pandemic has made a change a part of our daily life. Companies huge and small are faced with the prospect of a ‘new regular’– although it’s specific shape is still to be specified.

Regardless of the unpredictability, one thing is clear: digital transformation isn’t just vital for being successful. In times of crisis, resilience is important. The flexibility, agility, and development that digitization brings ensure businesses can maintain their operations.

ERP is just one strand in companies’ digital transformation journey. But till now, there hasn’t been a great deal of motivation to migrate to SAP S/4HANA. Many businesses feel their existing ERP system functions completely well. They’re out of date, sure, yet as long as they finish the job, what’s the issue?

Building a business case for SAP S/4HANA is not constantly an easy job. Its real value lies in empowering other technologies– making it difficult to identify an ROI when viewed alone.

And yet, businesses know that they have to change– especially in the existing climate.

The official deadline for moving is 2027. After this time, SAP will stop supporting its previous ERP versions. The question businesses are asking themselves is not if they will move, but when.

Understanding the Benefits

The advantages of S/4HANA are well known. Enhanced performance, agility, versatility– you have probably heard all of it before.

What I don’t think people appreciate is what a gamechanger S/4HANA will be.

We’re not simply discussing an easy patch or upgrade. Rather, it’s a full reimagining of exactly how ERP operates. So let’s get some context.

During previous ERP interactions, the business was going through periods when they were testing new technologies– things like IoT, AI and blockchain. These islands of innovation were suitable for experimentation, however, they never scaled as they were rolled out. And they were separated from the IT core.

In short, they were proof of concepts. And they did not have the holistic vision to connect them into a commercially feasible business model.

Similarly, previous ERP interactions were modular. Businesses can customize and swap in capabilities relying on their business needs– which was perfect for some. But the software didn’t reach its potential in terms of being a simple, unified plan.

S/4HANA changes all that

What it loses in modularity, it gains in being a streamlined, out-the-box plan that provides on the pledge of a digital future.

All of us recognize AI, IoT, and blockchain are key transformative technologies. However, to get the most out of them, you require an effective backend system. A system with the muscle to crunch a huge quantity of information and make sense of the data you’ll be processing.

That’s why it’s hard to evaluate S/4HANA’s worth. Technically, it’s a technology that’s finding hairline fractures in your assembly line, or anticipating equipment outages before they happen. But none of these technologies can be rolled out without a robust ERP system.

The power of S/4HANA

From agile development to boosted customer experience, I think there are more opportunities than people know.

We will be deep diving on a sector-by-sector basis, discovering how S/4HANA can assist individual markets on their digital transformation journeys.

There are challenges certainly, yet the process isn’t as agonizing as some believe– specifically if you have a solid roadmap and also a determination to lead from the top.

Although 2027 appears a long way off, in business years, it’s virtually tomorrow. And with the pandemic revealing no signs of mellowing out, development must become a priority.


Inevitably, I wish this blog will offer you a more clear picture of S/4HANA– and demonstrate how it’s something businesses must be taking into consideration today.

Want to figure out more about SAP S/4 HANA, feel free to visit our website.

At ZaranTech, we also offer a self-paced, online certification program on SAP S/4 HANA, mentored by some of the sought after and experienced subject matter experts. Browse through our course pages for further information.

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