What you have seen, heard, read, and experienced up to this point indicates that SA S/4HANA. Although Central Finance is a popular deployment option, have you considered that it may still be a viable choice even if only one ERP—say let’s ECC—is in scope? Let’s talk in more depth, assuming that there is only one ERP in the environment at the moment.
When SAP ECC first launched:
The SAP ECC sunset must occur before S/4HANA may be introduced, which may be by 2027 when a business has SAP ECC up and running for an extended period of time. In this situation, the firm plans to deploy SAP S/4HANA with migration as a potential deployment option, although it comes with some costs:
- Interruption of the current business
- With the background of what businesses have considered in the last few years as topics for improvement, no breadth of process modification or improvement
- Transfer all previous customizations, including those that are bed-ridden, to the new system. These customizations may or may not be appropriate for use in the future and may only represent a technical debt in the system implementation process.
What advantages might arise if the same firm decides to deploy SAP S/4HANA with Central Finance as a deployment option? (with of course some cons)
- There is no alteration to the current procedures
- Replication should be put into place first, followed by budgetary planning, then logistical implementation. The whole procedure will allow organisation some time for futuristic thinking as opposed to merely sticking with what is previously established.
- Use SAP’s new features instead of all of its outdated modifications. There will undoubtedly be some customizations, but they should be based on fresh ideas and a vision for the future.
- It offers the chance to deploy S/4HANA gradually.
- The drawback of this scenario is that from an infrastructure, hosting, and application management (AMS) standpoint, dual maintenance of systems (SAP ECC & SAP S/4HANA) must be handled for a few years.
- In the upcoming years, there is a chance that any M&A integration may occur as part of a company plan.
A quick comparison
Existence of a single or more Non-SAP ERPs
- If the firm is currently using a non-SAP system and the goal is to switch to SAP in the future, this is the ideal course of action.
- Put Central Finance in place and begin data replication.
- Starting with reporting and fiori apps, begin to unlock SAP’s capabilities. Next, progress to financial transactions like central payments, etc.
- Make the IT community and business users aware of SAP S/4HANA
- Create a future vision that includes logistics procedures in addition to financial ones.
- Implement process improvements by redesigning as necessary There won’t be any disruptions because the project and operations are entirely distinct from the ERP perspective.
SAP Central Finance hence functions as a deployment model in all circumstances:
- when there is only one SAP ECC
- when there are several ERPs
- When a single Non-SAP ERP already exists and an organization wants to benefit from innovation that SAP has built or has
- planned to build using HANA and other cutting-edge technologies
Cheers to reading!