S4/HANA: What does SAP’s next generation ERP mean for customers?

February 11th, 2015 by blogadmin Leave a reply »

SAP’s latest generation of the ERP S4/HANA – a SaaS model that promises to run on Hana and “on the fly” by removing satellite systems – is a bold move that changes the way firms’ core systems will operate.

S/4Hana would eliminate 40 percent of the SAP IT load, which comes with the data exchange between systems like CRM and ERP, by running applications on one system.

Reduced complexity
While the SAP landscape has become more and more complex due to the various new components the vendor has added over time, it is SAP’s intention to reduce this complexity with S/4 HANA. With this, SAP delivers on its promise to provide an integrated system.

This includes a fundamental reduction of the data complexity. In this new system layout, satellite applications do not need their own instance, which furthermore decreases the data volume. It also means that only a single database is needed: SAP HANA. As a matter of fact, applications and database will grow together and there will be no distinction between application and database layer.

Fast analysis
While the ERP will be the obvious choice for businesses already using cloud – the suite integrates with SAP’s acquisitions like Ariba, Success Factors and Concur; on-premise customers would not be left behind. Similarly to cloud vendor Salesforce.com, SAP will configure its cloud products so they can be used on-premise if a customer is not ready to make the leap.

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