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26.04.24

How to Overcome the 5 Biggest Challenges of an S/4HANA Implementation

By Lisa Mahoney

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SAP S/4HANA projects often fail not because of the technology, but because of how the business approaches them. In this expert-led guide, SAP Chief Architect Paul Kelly outlines the top challenges companies face during an S/4HANA transformation—and how to overcome them.

1. Underestimating the Scope: It’s a Business Transformation, Not Just IT

One of the most common mistakes? Treating S/4HANA as a technical upgrade rather than a business transformation. Your legacy ECC system may be over a decade old, shaped around outdated processes and customisations. A successful move to S/4HANA means rethinking how your business runs—not just porting it over.

2. Rushing the AS-IS Assessment

You need 12–18 months of due diligence before implementation begins. That means deep process mapping, stakeholder workshops, data review, and evaluating your existing ERP footprint. Shortcuts here almost always lead to scope creep, rework, or project failure down the line.

3. Choosing the Wrong Migration Path

  • Brownfield: A technical upgrade that risks carrying over legacy debt.
  • Greenfield: Start fresh and adopt standardised processes—but only if your business can.
  • Selective Mix: Combine both where needed, often ideal for heavily customised setups.

Choosing the right path means aligning your future needs with your current constraints—not just picking the fastest option.

4. Ignoring the True Cost of Cloud

Cloud isn’t just about infrastructure. It changes your license model, operational costs, and even team structure. For example, you’ll likely need fewer DBAs but more SAP domain experts who understand hybrid architecture and integrations. Be clear on private vs public cloud early.

5. Leaving the Business Out of the Process

Your business users drive revenue—they can’t be sidelined during transformation. Success relies on making them co-owners of the change, bringing them into early-stage workshops, and aligning IT with real-world business needs. Don’t expect them to pause their day jobs without a clear, joined-up plan.

Final Thought: Don’t Try to Eat the Elephant Whole

Start small. Look at which parts of your ecosystem can be modularised or moved ahead of the full transformation. Tools like SAP Datasphere or Customer Services Cloud can be adopted earlier to build confidence and momentum.

Want tailored advice for your organisation? Book a free consultation with one of our SAP delivery experts.

You can download the full transcript here.

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