SAP S/4HANA, an enterprise resource planning (ERP) system, was released seven years ago. Nothing has generated as much anticipation, trepidation, and anxiety among SAP’s customer base as S/4HANA.
From learning the fundamentals to switching to S/4HANA, businesses have needed help with this process. A significant amount of work was involved in replacing the old ERP system with S/4HANA.
Despite the difficulties, migrating to S/4HANA is a smart move for enterprises. Within three years of implementing S/4HANA, Forrester predicts a $156 million gain in revenue.
Top business leaders who know what is SAP S/4HANA have often wondered how organizations can get by without its streamlined data models, intuitive user interfaces, seamless integration, and cutting-edge real-time analytics. So what are the business benefits of switching to SAP S/4HANA as your enterprise resource planning system?
Let us find out below.
Facilitates smoother company operations
Let’s say you work in the accounting division of a multinational corporation that sells various goods and services in several different countries. It is complex to put together annual financial reports for such a business. You’ll need to communicate with multiple parties, gather information, and write out reports. It’s a lot of hassle that drains your energy and resources.
On the other hand, S/4HANA makes it simple to use the in-house developed app for closing out processes. Plan to monitor many groups’ data, get in touch with other people and organizations, analyze that data, and finish the books more quickly.
This is only one way in which S/4HANA reduces complexity for businesses. Apps for many business processes, such as accounting, shipping, and inventory management, have been made easier to use thanks to S/4HANA.
A fresh and simple interface
Many companies still need to meet employees’ expectations that their workplace applications perform as smoothly as their ones. S/4HANA is helpful in this regard. It simplifies developing and deploying mobile apps for accessing company data and operations.
And with Fiori, the apps now look and feel more like the mobile apps we’re used to. Mobile apps make it simple for users to input information and monitor the status of a project regardless of where they are, be it at home or in the workplace. Apps like Microsoft Teams and Google Workspace are included for collaborative working. Therefore, workers can collaborate in real-time, eliminating delays in the information that lead to inefficiency.
Cost-effective
Because it eliminates the need for costly hardware and software licenses, S/4HANA is an economical alternative to other ERP systems. The sophisticated data compression the HANA database uses means fewer servers are required, saving money. There is no need for costly middleware when the S/4HANA platform can perform all analytical, transactional, and operational tasks. Without even factoring in the benefits to business operations, S/4HANA can reduce a company’s TCO by 37% in just three years.
Quicker understanding
In S/4HANA, the innovative in-memory processing of HANA enables fast insights and actions. S/4HANA’s embedded analytics collect and process real-time data, allowing instantaneous insight application within the business process.
Fiori Analytics has more than 500 pre-built mobile apps available. Use cases can be developed and integrated into an organization’s system. Fiori allows users to plan in real-time, execute that plan, report on that report, and analyze that data in real time.
The centralized data also allows for more efficient cross-functional cooperation within an organization.
Simple interface and adaptable setup
S/4HANA facilitates corporate agility with its user-friendliness and adaptability to deployment in either on-premises or cloud environments. Companies can easily implement new procedures thanks to the system. Whether it’s a merger, an acquisition, or a new sales channel, S/4HANA simplifies the integration process.
Think of a corporation running S/4HANA purchasing another business with a mix of SAP and non-SAP IT systems. With traditional ERP, gathering, organizing, and integrating information would require a substantial investment of time and energy.
With S/4HANA, you may move your system to the SAP cloud without integrating it first. To easily compile information across all of an organization’s acquisitions and subsidiaries, it can use a tool like Simple Finance.
Conclusion
Companies who transition to S/4HANA through a greenfield project or a brownfield upgrade have the flexibility to integrate newly acquired businesses more easily, increase the transparency of their assets, and liberate their employees from tedious, time-consuming tasks.