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For organisations when there is stakeholder agreement the enterprise resource planning (ERP) solution has failed to meet business needs, act decisively to turn failure into success. Management must also be proactive, and act when the implementation cost has been fully amortised and deemed past its use-by date, or when vendors providing SaaS ERP solutions have not met their contractual and service delivery obligations. In all situations, it is important to be proactive and tell executive management what is being done about it.
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Conclusion: Agility to respond to change has become essential. Compared with previous years, CIOs are expected to produce results over longer periods of time, now expectations have become much higher. Stakeholders are expecting results as soon as possible. With the trend geared towards an increase in technology dependence, the pressure of delivering results has therefore increased for CIOs and IT leaders.
Part of this new set of expectations is improved efficiency and productivity, which in most cases requires a thorough evaluation of business processes to garner potential inefficiencies. One of the primary tools organisations have at their disposal is the enterprise resource planning (ERP) systems. Eventually, it all boils down to whether or not the migration to S/4 HANA can be justified in terms of value-add-services. Implementation effort and run costs are only a part of the business case, not the whole.
Conclusion: SAP ECC on-premise versions required ownership of ERP infrastructure and multi-year licensing. The business cases for such investments considered ERP systems essential to remain competitive in IT service industries, logistics and resource-intensive sectors.
The next stage of the SAP journey recognises that Cloud infrastructure associated with S/4HANA can remove the large capital investment and reduce operating costs. Even with this infrastructure saving, the data migration risk remained with CIOs looking to identify a reliable data migration method. Any data migration considered to be high risk should be avoided in the current environment. Many are unfamiliar with the best method to migrate from on-premise SAP solutions to SAP S/4HANA in the Cloud.
SAP and its partners are now making this data migration journey not only more transparent but achievable in a timeframe that is measured in months not years. This is being achieved through Cloud platforms that can interrogate and integrate legacy data, then present migration paths in real time whilst retaining the data integrity before, during and after the migration.
IBRS iQ is a database of Client inquiries and is designed to get you talking to our Advisors about these topics in the context of your organisation in order to provide tailored advice for your needs.
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