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SAP ECC to SAP S/4HANA Migration

How to choose the best approach to migrate to SAP S/4HANA and successfully realize your company’s digital transformation.


In the era of digital transformation, it is important for companies to not only follow current trends, but also anticipate them. Migrating from SAP ECC to SAP S/4HANA is a step that not only ensures you are up to date, but also significantly improves the efficiency and competitiveness of your company. This article will explain what SAP ECC and SAP S/4HANA are, what they have in common, what their differences are and why it is worth migrating to the new platform.

What are SAP ECC and SAP S/4HANA?

Overview of SAP ECC

SAP ECC (ERP Central Component) is an enterprise resource management system that includes many modules to automate key business processes. It provides data and process integration that enables companies to effectively manage finance, logistics, manufacturing and other aspects of operations. SAP ECC is a reliable and proven system used by a multitude of companies around the world.

SAP S/4HANA Overview

SAP S/4HANA is a next-generation ERP solution built on the SAP HANA platform that uses in-memory computing to deliver high performance and processing speed. SAP S/4HANA offers a simplified data structure, a more intuitive SAP Fiori interface and integration with emerging technologies such as machine learning and IoT.

Commonality between SAP ECC and SAP S/4HANA

  1. Breadth of use : SAP ECC and SAP S/4HANA support a variety of industries and business models, providing flexibility and adaptability.
  2. Modules: Both platforms offer a wide range of modules for different business processes such as FI (Finance), CO (Controlling), MM (Materials Management), SD (Sales and Distribution) and others
  3. Integration: Both solutions are integrated, allowing data exchange between different modules and ensuring the integrity and continuity of business processes.

So why migrate to SAP S/4HANA?

SAP ECC is still a robust system, but its technology is starting to age. Difficulty integrating modern solutions and limited support can make it difficult to adapt to rapidly changing business conditions. Many companies are still using SAP ECC, but SAP is phasing out support for this version in favor of S/4HANA.

SAP is now actively promoting SAPS/4HANA as a next-generation platform that will continue to be supported and upgraded in the future.

Benefits of SAP S/4HANA
  • Improved performance and speed: With SAP HANA in-memory technology, data is processed in real time, which significantly accelerates business processes.
  • Improved user interface (SAP Fiori): An intuitive and modern user interface improves the user experience and employee productivity.
  • Simplified data structure: The consolidated data structure reduces the amount of data stored, improves information management and overall system efficiency.
  • Integration with new technologies– SAP S/4HANA supports integration with machine learning, IoT and other advanced technologies, opening up new opportunities for innovation.
  • New capabilities and features not available in SAP ECC, such as integrated real-time analytics, machine learning, and enhanced cloud capabilities.

Choosing a migration approach to move from SAP ECC to SAP S/4HANA is a critical step

that determines the success and efficiency of the process. Depending on the specifics of the business, the current state of the system and the company’s strategy, you can choose between several approaches:

1. Greenfield (new installation)

Complete implementation of a new SAP S/4HANA system from scratch. The old SAP ECC system is not used, the data is transferred to the new system in an optimal format for SAP S/4HANA.

Advantages:

  • Data purity: obsolete and unused data from SAP ECC is avoided.
  • Process optimization: Possibility to review and optimize business processes in the new system.
  • Architecture simplification: Get rid of legacy user interfaces and unnecessary customizations.

Features:

  • Suitable for companies prepared for radical change and optimization of business processes.
  • Requires more resources and time for implementation.

2. Brownfield (conversion of an existing system)

Migration of an existing SAP ECC system to the SAP S/4HANA platform while retaining data, configuration and user interfaces.

Advantages:

  • Preservation of investment: use of existing SAP ECC configuration and data.
  • Risk minimization: Preservation of known processes and user interfaces.
  • Shorter implementation time: less time and resources spent on implementation.

Features:

  • Suitable for companies that need to preserve current business processes and minimize changes.
  • Requires in-depth knowledge and analysis of current system artifacts and configurations.

3. Hybrid (a combination of new implementation and conversion).

Combined approach that combines the initiation of a project with a Greenfield approach, followed by incremental implementation and conversion of parts of the current system (Brownfield approach).

Advantages:

  • Flexibility and phased implementation: Ability to manage change and adapt the new system incrementally.
  • Resource optimization: Use of existing data and configurations, while allowing the introduction of new processes and functionalities.

Features:

  • Suitable for companies looking to modernize incrementally and minimize risk during the transition.
  • Requires careful planning and change management in all phases of the project.

Does moving from SAP ECC to SAP S/4HANA sound complicated?

Not at all if you choose a trusted automation partner.

Power Pulse Solutions makes the transition from SAP ECC to SAP S/4HANA in 3 phases.

  1. Preliminary preparation
  • Audit of the current state of IT infrastructure and business processes.
  • Definition of migration goals and objectives.
  • Development of a detailed plan taking into account all phases and resources.

2. Selection of the migration approach: Greenfield (new installation), Brownfield (conversion of existing system) or Hybrid (combination of new implementation and conversion).

3. Execution of the migration using specialized tools to ensure a smooth transition.

  • Ensure data migration by guaranteeing its accuracy and integrity at all stages.
  • Testing and validation: checking system compliance with requirements.

Professional technical assistance at all stages of implementation and beyond.

The Power Pulse Solution team has extensive experience in this type of work. These are some of the SAP ECC to SAP S/4HANA migration cases we have managed to perform.

1. ECC to SAP S4 HANA migrations with a cockpit and AI support for database analysis and automated conversion for companies in the consumer sector (>5000 employees). This included the configuration of new functionalities for conversion. Difficulties were related to specific new functionalities for which new configurations were implemented.

2. Migrations from ECC to SAP S4 HANA with a combination of SAP Migration Cockpit/IDOC/BAPI/Standard Transactions/Custom Load programs with CrystalBridge® tool for data loads in the mining sector (>100000 employees). Difficulties were related to the very high volume of data, lack of historical data cleansing and problems with country localization requirements for submitting data. With dry runs, smoke test strategies and some localization adjustments the problems were solved.

3. ECC migrations to SAP S4 HANA with Object Based Transformation OBT loads for a company in the consumer sector (>100000 employees). The main idea here is to transfer logical objects (business objects) completely. An important advantage of the object-based transformation tool is that each object, e.g. a company code or sales organization, does not have to be performed individually one after the other. This tool can be combined in a single step by means of special transformation logics. In addition, unlike classic transactional migration, historical data can be transferred. The difficulties were related to the very high volume of data, many different objects for 100 countries for a company-wide transformation project from SAP ECC to SAP S4 HANA. Several copies were made to S4 HANA systems to test feasibility and accuracy until a final upload to the new production system for 100 countries.

Advantages of moving to SAP S/4 HANA with Power Pulse Solutions.

  • Experience and expertise: In-depth knowledge and years of experience with SAP systems.
  • Individual approach: Customized solutions that take into account the particularities of each customer’s business.
  • Comprehensive support: Full cycle of services, from consulting in all phases to staff training.

The transition from SAP ECC to SAP S/4HANA is thus a step towards accelerated modernization of business processes. With increased performance, an improved interface and integration with new technologies, SAP S/4HANA provides significant benefits to companies.

Contact Power Pulse Solutions for a consultation and to begin your journey to a successful SAP S/4HANA migration. 


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