RISE with SAP for Migrating to the Private Cloud

Marcel Deichmann

June 3, 2022

Image of a group of people in a meeting, next to them a woman looking at her computer screen and a tablet

One thing is clear: For most SAP customers, the switch to SAP S/4HANA is a certainty. The overwhelming majority of companies are planning to migrate to the new business software in the foreseeable future in order to drive forward their digital transformation and make their business processes fit for the future. This is also confirmed by valantic’s current trend study on this topic. Many are less certain when it comes to the question of whether they should then continue to rely on proven on-premises solutions or take this opportunity to make the leap into the cloud. For these companies, it is worth taking a closer look at the RISE with SAP offering with the SAP S/4HANA Private Cloud deployment variant.

RISE with SAP is a comprehensive and hitherto one-of-a-kind transformation-as-a-service offering from SAP. It simplifies and expedites the move to the cloud with numerous tools as well as with value-added services from partners such as valantic. These include business process intelligence solutions, credits for the SAP Business Transformation Platform (SAP BTP), and the entry-level SAP Business Network package for more efficient supply chain networking. With RISE with SAP, customers can complete their business transformation at their own pace and according to their own unique requirements. At the heart of the package is a SAP S/4HANA cloud solution, which is available either as a highly standardized Public Cloud, or as a Private Cloud with extensive customizing and enhancement options.

Business Transformation at a Predictable Cost

Both variants have specific advantages and address companies at different stages of their development paths. As an end-to-end ERP solution, the Private Cloud provides an optimal foundation for the future-proof optimization and automation of processes along the entire value chain. Another interesting aspect of this deployment variant is that it closes the functional gap between a cloud solution and a traditional on-premises system. On the one hand, proven on-premises functionalities and options – such as the option of customer-specific enhancements and customizations – are retained; on the other hand, customers can use SAP’s new strategic ERP software from day one without having to make high upfront investments and also enjoy the benefits of a service-based subscription.

The monthly usage fee includes technical operation by SAP or another hyperscaler, as well as support for the software and infrastructure. Customers do not have to deal with operating or with coordinating different suppliers and service providers, but have a maximum of two companies as contacts who take care of everything. In addition to this, they also work with costs that are predictable over the long term.

In our experience, the cost of hosting is often identical to that of cloud operation. When choosing a solution, companies should therefore always compare the total costs of ownership for their specific scenario. To this end, valantic offers a service to analyze the TCO of the on-premises, Private Cloud and Public Cloud deployment variants and advise customers on this basis when making their decision.

Brownfield Approach Shortens Implementation Time

SAP S/4HANA Private Cloud is principally suitable for all companies, but especially for those that need more freedom in the individual design of their business processes or have many country-specific requirements. This option is also spot on for those inclined to outsource the operation of their ERP solutions in the future.

The migration is also possible in the framework of a brownfield transformation scenario. In such a system switchover, proven processes and structures are retained in an innovative environment. In doing so, the existing ERP can initially be converted to SAP S/4HANA in the course of a technical upgrade. This saves time and resources during the implementation, which is a major advantage in view of the approaching maintenance phase-out for older SAP ERP systems. In brownfield projects, individual optimization potential can be identified and then be realized selectively, step by step. Thanks to the additional services and tools available with RISE with SAP, companies can systematically drive their digitization forward and make a value case out of their transformation to the SAP S/4HANA Private Cloud.


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