SAP S/4HANA- Enter the Era of Digitization

Introduction of S/4HANA means taking a new approach in enterprise management software.

SAP assures that thanks to this solution companies will be prepared for challenges they face every day. One of the biggest is a demand to become fully digitized. That cuts manual work to the minimum and encourages keeping data as electronic paper forms or in spreadsheets.

This can only happen with the assist of modern IT software that can support new challenges like e-commerce, IoT or Big Data.

Digitalization affects many areas in a company’s environment and employees in any position. Below find a list of crucial functionalities which make approach shift to the modern ERP possible.

User Interface enhanced

S/4HANA operates in Fiori application instead of a traditional GUI interface. Different user interface means not only access to systems through a web browser but also changing approach from process-based into role-based. This change is visible for those who deal with many transactional documents daily.

Thanks to multiple user-friendly SAP Fiori application supported by workflow functionality processing documents and collecting approvals is easier than it was before. Each user has access to a dedicated set of Fiori application, which corresponds to his responsibilities. Data available via transaction codes were general, not specific.

Now Fiori apps present only information required to suit specific role and position.

Up-to-date reports anytime and anywhere

In the area of analytics access to data is possible in real time. It means that reports can be generated rapidly based on up-to-the-minute data, not as it used to be so based on data replicated into SAP Business Warehouse or those that were current a week ago.

Functionality will be appreciated by managers and management board, who seek for the most appropriate analysis which support decision making.

Simplified IT landscape

Another advantage is simplifying the company’s IT landscape. Until now functionalities like transportation management or CRM functionality existed only as a standalone application.

Now they are available within one system instance as the embedded solution. Basis team will undoubtedly notice this as a significant change in IT infrastructure.

Change in business processes

In the area of logistics or finance, the solution also supports technological transformation. Finance module, initially called S/4 HANA Simple Finance and covering only part of FI functionality, evolved into a powerful tool fully endorsed by Fiori technology.

For example, a redesigned solution for cash management enables collecting all every task and monitor progress in a couple of dedicated Fiori application.

Industry solution as the answer to specific needs

Another benefit of S/4HANA is offering of industry solution.

Not all companies have the same needs. Besides multiple business processes, like an order to cash, which worked effectively for decades now the demand and expectation of business changed. Dedicated versions of solutions for utilities or retail support their everyday work and allow to adjust systems to their needs, not the other way around.

They can automatize the work even faster to make it more efficient and simple with minimum additional development effort involved.

ERP in the cloud – why not?

An interesting approach is a migration into the cloud, which now is featured as a future strategic direction.

SAP offers equivalent functionality compared to the on-premise solution, but there is no need to invest in internal infrastructure or extended support team. Keeping the ERP system in the cloud means that all efforts involved in database maintenance, system updates, etc. are supported by SAP.

The reality, however, is not so optimistic and for some companies. Due to many factors, IT systems don’t stand as a tool for running a business efficiently.

They struggle with infrastructure and spend enormous budgets only on keeping the lights on, not to mention innovations.

Now is the perfect moment to think about digital transformation and plan the next steps in becoming an autonomous enterprise. This sounds rather like a  revolution than an evolution, but since IT world changes so fast it’s important to take the first steps to adjust to current reality and start the road towards S/4HANA.