How SAP S/4HANA Cloud Solves ERP Challenges

As times change and technology advances, the challenges of enterprise resource planning (ERP) become more prominent and intricate.


Current headaches that enterprises are looking to relieve include lack of system integration; inability to adjust to the rapidly changing business environment; complexity of business transformation; change management, data conversion, and migration; and the total cost of ownership (TCO).


The technology that drives ERP must be flexible, provide advanced analysis immediately, and make decision making easier. However, the biggest challenge in transformation for many organizations is not how to apply the technology but how to redesign and innovate business processes to use that technology to uncover further hidden value. Today’s software landscape is complex, and organizations need a clear and simple path toward deployment. SAP keeps this in mind as it continues to accelerate the transition to the cloud and focus on expanding its core business with SAP S/4HANA Cloud.


SAP S/4HANA Cloud is SAP’s solution for deep business issues, helping organizations by redesigning processes and leveraging data as the driving force for automation and decision making, while also helping to ensure that software can integrate effortlessly with third-party applications. Let’s take a deeper dive into SAP S/4HANA Cloud and its technology and capabilities that will help enterprises thrive.


SAP S/4HANA Cloud Technology and Capabilities

With SAP S/4HANA Cloud, a wide range of functionalities based on innovative technologies is made available, which can help companies with complex processes and system landscapes. This provides them with the opportunity to transform at their own pace as they move to the cloud.


One reason businesses have turned to cloud-based ERP is the high degree of standardization. This standardization is a precondition for automation but also can challenge a business to adapt existing processes and flows. SAP S/4HANA Cloud uses standardization to improve efficiency and quality. Highly automated processes reduce errors, redundancies, and variances, setting companies up for operational success. Standardization and multitenancy mean that switching to the cloud reduces the TCO.


Standardization may deliver fast time to value, but it’s not sufficient on its own. To differentiate business processes, extensibility is needed, and SAP S/4HANA Cloud comes with extensibility capabilities on two different levels. First, SAP provides measures to adapt the user interface (UI) and SAP S/4HANA Cloud applications via in-app extensibility. Second, it’s also possible to implement differentiating capabilities on SAP Business Technology Platform (SAP BTP), the platform that hosts the intelligent enterprise and is closely integrated with SAP S/4HANA Cloud.


The underlying foundation for SAP’s cloud applications is SAP BTP, where process models, data models, business services, and application programming interfaces (APIs) come together. SAP BTP allows the extension of SAP applications and gives organizations the flexibility they need, while keeping core solutions “clean” for future upgrades. By implementing capabilities on SAP BTP, an organization can stay agile. With extensibility with SAP S/4HANA Cloud, companies no longer need to choose between innovation and standardization; they can move forward with both while safeguarding necessary flexibility.


With SAP BTP’s embedded analytics and real-time reporting capabilities, the technical foundation of the intelligent enterprise allows for an ecosystem of organizational and partner integration. This can be done with SAP and third-party applications, with data across hybrid landscapes, to extend and create innovative business processes.


SAP S/4HANA Cloud enables the intelligent enterprise as an intelligent ERP solution in the cloud that helps organizations become resilient, sustainable, best-run enterprises tapping into complete, innovative, and flexible capabilities.


SAP built this comprehensive, intelligent ERP by further extending the capabilities of existing cloud solutions using intelligent technologies (such as machine learning and AI) and by improving integration of existing systems with net-new capabilities in the cloud. SAP’s “cloud-first” approach ensures that new innovations can be made available for private clouds or for on-premise installations as well.


SAP S/4HANA Cloud can support organizations regardless of their positioning in their digital transformation journey. SAP S/4HANA Cloud is the solution all companies can benefit from, enabling both business transition and business transformation. It also offers solutions best suited for their needs; whether these are standardization, quick implementation time, or embedded intelligence, SAP S/4HANA Cloud can help enterprises mitigate existing issues and perform better.


SAP S/4HANA Cloud Book

It can be daunting to keep up with the ever-evolving innovations of SAP’s technology. We’ve published SAP S/4HANA Cloud: An Introduction to provide readers with a product overview and insight on its role in SAP’s intelligent enterprise suite.


First, review the challenges organizations and their end users face with traditional ERP systems, along with the advantages and the market perspective of cloud ERP systems. You’ll be introduced to SAP S/4HANA Cloud’s architecture and integration with other SAP solutions.


Take a look at SAP’s intelligent enterprise strategy, which introduces end-to-end (E2E) business processes and SAP BTP as the foundation. You’ll explore the main intelligent technologies that are in place to assist, adapt, and automate E2E business processes in the intelligent enterprise suite and SAP S/4HANA Cloud.


Next, get to know the SAP Fiori user interface and its design principles. You’ll understand its productivity gains for users, along with adaption capabilities for both key user and end user personalization. Move on to an overview of the analytics capabilities that can help your users collect insights and trigger the right actions.


Explore functional and industry capabilities of SAP S/4HANA Cloud as well as its support for global business processes with localized functionalities and broad language support. You’ll be provided with an overview of the general functional scope and introduced to the relevant

personas. Learn new concepts for that functional area, along with interesting

intelligent and analytics scenarios.


Then learn about the differences between extending an on-premise SAP S/4HANA system and an SAP S/4HANA Cloud system. Dive into SAP’s integration strategy and review the main aspects of SAP’s API and master data strategies. Explore SAP S/4HANA Cloud’s adoption and lifecycle management to understand common implementation challenges for tradition ERP systems, accelerated and streamlined approaches for implementations, and important aspects to consider before adopting SAP S/4HANA Cloud.


Wrap up with details on how to enhance your knowledge in various areas of SAP S/4HANA Cloud. You’ll conclude with the product capabilities in store for the future.


Who Is This Book For?

The book is intended for individuals and companies unfamiliar with SAP S/4HANA Cloud, as well as for existing SAP S/4HANA Cloud users and partners who would like a structured introduction into the new capabilities of SAP S/4HANA Cloud.


About the Author

Thomas Saueressig is a member of the Executive Board of SAP SE. He leads the SAP Product Engineering area and has global responsibility for all business software applications. This includes all functional areas from product strategy and management to product development and innovation as well as product delivery and support. He is also in charge of all development cross-functions at SAP, comprising the overall quality of SAP software products, its user experience, and the underlying global cloud infrastructure.


Jan Gilg is the president of SAP S/4HANA, SAP’s flagship product that encompasses ERP, finance, and the supply chain. In this role, he has global responsibility for the development, delivery, and product management of SAP S/4HANA, SAP’s industry solutions, and the SAP Digital Supply Chain portfolio. Jan is also a member of the SAP Engineering Senior Leadership team.


Oliver Betz is a senior vice president and global head of product management for SAP S/4HANA at SAP SE. In this role, he assesses customer and market requirements and drives the SAP S/4HANA product strategy. Under his leadership, his team has discovered key market trends and collaborated with customers and partners globally to define SAP’s next generation software solution for the digital core, helping customers to gain a competitive advantage. His team is continually assessing the latest technologies and evaluating ways to leverage them in SAP S/4HANA to drive new innovation.


Marcus Homann is chief of staff and head of customer engagement of SAP S/4HANA product management at SAP. In this role he supports important strategic initiatives and takes care of critical customer requirements. Marcus joined SAP in 2014 and has had different roles in SAP’s support and engineering organizations including development manager, IT planning architect, escalation manager, operations expert, and customer office lead. Marcus began his professional career as IT strategy consultant at Accenture before moving to the SAP University Competence Center in Munich, where he spearheaded key initiatives in the areas of data center infrastructure, SAP HANA, and SAP Mobile Platform.


How to Purchase

If you’re interested in purchasing SAP S/4HANA Cloud, follow this link and choose the format that works best for you: e-book, print edition, or bundle (both e-book and print).


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SAP S/4HANA Cloud: An Introduction
SAP S/4HANA Cloud: An Introduction

New to SAP S/4HANA Cloud? This is the book for you! Get detailed descriptions and screenshots to see what is possible in SAP S/4HANA Cloud, from core functionality like finance and logistics to reporting with embedded analytics and KPIs. Learn how SAP S/4HANA Cloud impacts your users and how it can be extended, integrated, and adopted by your organization. Get information on the latest intelligent technologies to experience the complete solution scope. Discover what SAP S/4HANA Cloud means for your business!

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SAP PRESS is the world's leading SAP publisher, with books on ABAP, SAP S/4HANA, SAP CX, intelligent technologies, SAP Business Technology Platform, and more!