CASE STUDY

Preparing a Building Products and Services Company in USA for SAP S/4HANA System Conversion



Building Products - US

Overview

Enterprises now realize it’s the right time to move from SAP ECC to SAP S/4HANA. They know that as the deadline of 2025 approaches, there will be a shortage of SAP consultants leading to higher project costs and tighter timelines. Therefore, enterprises across the globe having decided to embrace the potential and business value of SAP S/4HANA as early as possible to avoid the rush when 2025 slowly approaches. As the next logical step, they seek to learn about SAP S/4HANA System Conversion and the right approach to successfully complete the transition. This is because existing SAP ECC customers have been using their SAP ECC system with a variety of customizations which are an integral part of their business. Also, they have a lot of historical data which conform to these customizations. Therefore, a fresh implementation of the intelligent ERP is not a viable option. It is therefore highly important for organizations to study the business, technical, and functional impact of moving to SAP S/4HANA before undertaking the path to digitization with the intelligent ERP.

A leading engineering, construction, and operations major in the United States of America took the same path as well. While on this enlightening path to digital transformation, they understood the parameters surrounding the SAP ECC deadline of 2025, the limitations present in their existing SAP ECC system, and the potential of SAP S/4HANA. It was clear to them that SAP S/4HANA was the right solution to digitize their business core and stay ahead of the digitization curve and the competition.


Client Requirements

The EC&O major had been comfortable with their SAP ECC system ever since its implementation. However, due to the 2025 deadline for SAP ECC, the potential of SAP S/4HANA, and the management decision to digitize at the right time and stay ahead of the competition, they were ready to adopt SAP S/4HANA as soon as logically possible. This would ensure that they stay ahead of the innovation curve and prevent falling into the dreaded innovation gap. They knew they should ideally opt for the SAP S/4HANA system conversion path to adopt SAP S/4HANA, however, they were still not sure on the right procedure and process involved in the SAP S/4HANA migration. Therefore, the EC&O major wanted to study their existing SAP ECC system and understand the “as-is” and “to-be” business scenarios. They wanted to accurately define the business, technical, and functional impact of moving from SAP ECC to SAP S/4HANA through system conversion. Through this process, they would be able to accurately define the steps and the approach to be taken for their SAP S/4HANA System Conversion project. This would help to minimize the total cost of conversion and ensure an optimized project timeline with the right effort and resources. To ensure that they don’t mess up their SAP S/4HANA conversion, the EC&O majo was looking for ways to complete a comprehensive “assessment” which would help them complete a smooth and risk-free SAP S/4HANA system conversion.

After plenty of research and comparisons, it is at this point that they finally selected the SAP S/4HANA Readiness Assessment Program powered by KTern.


Solution provided by KTern

The SAP S/4HANA Readiness Assessment Program powered by KTern is a comprehensive assessment program which thoroughly checks the readiness of an organization for SAP S/4HANA. The existing SAP ECC system is studied across all possible technical and functional parameters to carefully define the impact of moving from SAP ECC to SAP S/4HANA through system conversion. Based on the impact analysis, auto-suggestions and actionable insights are also provided to help plan the SAP S/4HANA migration through system conversion. While there are many readiness checks available from multiple service partners, none of them offer the amount of insight and depth of data as KTern. This is primarily because KTern abides with SAP Activate, the only approved methodology by SAP for SAP S/4HANA System Conversion. In addition, KTern’s AI infused knowledge base automates the activities which need to be completed during the SAP S/4HANA Readiness Assessment. Considering the features and the value KTern brings to SAP S/4HANA migrations which are completed through the system conversion path, it is of no surprise as to why KTern is most preferred by SAP partners across the globe for carrying out the SAP S/4HANA readiness verification for their customers.

At the end of the assessment program, a tailor-made comprehensive SAP S/4HANA Readiness Assessment Report (which is unique for each organization based on their SAP ECC landscape) is provided to build the business case for SAP S/4HANA and create the L1 plan for SAP S/4HANA System Conversion.

The EC&O major headquartered in the United States of America chose and completed this assessment as the first step on their path to digital transformation to have a firm grip over the upcoming SAP S/4HANA system conversion. By completing the assessment program, they were able to accurately define the impact of moving from SAP ECC to SAP S/4HANA, estimate the right effort, timeline, and resources needed for the project and draft a reliable, and accurate L1 plan for the project.


Deliverables

Some of the deliverables of the KTern generated SAP S/4HANA 1809
Assessment Report were:

  • Detailed analysis of finance and logistics configurations in SAP ECC
  • Thorough fit gap analysis to prepare and reconfigure their business processes for SAP S/4HANA
  • Accurate study of the amount of custom code and their compatibility with SAP S/4HANA
  • Identification of existing add-ons in SAP ECC and their compatibility status with SAP S/4HANA
  • Definition of business functions which are always on, always off, and user customizable
  • Comprehensive analysis of simplification items and their relevancy
  • Recommendations on hardware sizing
  • Infrastructure set up suggestions
  • L1 plan for SAP S/4HANA Migration through SAP S/4HANA System Conversion
  • Estimation of the required effort, timeline, and cost of conversion

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