In today’s digital world, more enterprises are accelerating their move to cloud platforms. Companies can no longer persist with on-premises legacy systems. 88% of SAP customers cannot innovate with legacy systems, while 82% of companies have endured unplanned downtime with legacy infrastructure, which has cost them revenues and productivity.

Among the leading cloud solutions from SAP, the SAP S/4 HANA Cloud solution delivers capabilities like real-time data processing and analytics to SAP customers. By moving to this cloud platform, enterprises are leveraging multiple benefits like improved decision-making and cost reduction.

Here are the top 7 reasons why enterprises are moving from their legacy systems to SAP S/4 HANA Cloud:

sap s 4hana cloud

1. Lower cost and TCO

As compared to traditional on-premise ERP systems, the SAP S/4 HANA Cloud solution significantly reduces the upfront investment for growing enterprises. The cloud presents a major low-cost alternative for enterprises pursuing digital transformation in a competitive market.

With its flexible subscription-based pricing model, this SAP cloud solution reduces the total cost of ownership (TCO) for enterprises in the long run. This means they have to spend less on supporting infrastructure in the form of hardware devices, software maintenance, and data storage. Further, smaller enterprises can leverage the price benefits of the SAP S/4 HANA Public Cloud solution with its “pay-as-you-use” model.

2. Intelligent process automation

Another reason why enterprises are moving to SAP S/4 HANA Cloud is its intelligent process automation capabilities. With this, enterprises can streamline their business processes and lower manual effort or human intervention. For instance, enterprises can automate common processes such as procurement, invoice processing, and data entry.

Intelligent process automation frees up valuable employee time, thus allowing them to focus on critical business-related tasks (instead of performing routine procedures). In the long run, process automation can lead to significant cost savings and higher workforce productivity.

3. Technological innovation

To achieve business success in a technology-driven business world, modern enterprises can no longer ignore the benefits of AI and machine learning, automation, and advanced analytics. However, they cannot leverage these technologies on outdated legacy systems.

SAP S/4 HANA Cloud supports a host of futuristic innovations in the form of real-time data analytics and faster responses to business disruptions. For instance, with its support for AI and machine learning, enterprises can leverage this SAP cloud solution for improved decision-making, accurate predictions, and real-time business insights. Similarly, they can use this SaaS solution to launch new business models and explore market opportunities.

4. Improved security

In the wake of growing cyberattacks each year, more enterprises are prioritizing cybersecurity for their sensitive data and business applications. On-premises legacy systems don’t ensure complete security with the latest security practices and tools.

Among the most secure cloud solutions, the SAP S/4 HANA Cloud solution is built with stringent security protocols in the form of:

  • Infrastructural security for enterprise networks and operating systems.
  • Data protection practices in the form of role-based access control and advanced data encryption.
  • Intrusion detection mechanisms in the form of identity and access management (IAM)
  • Security logging and tracking user activities.

5. Improved accessibility

With the SAP S/4 HANA Cloud system in force, enterprises can now provide real-time access to ERP across geographical locations and devices. This is useful for business executives on the move and for remote workers. As more enterprises adopt a remote or hybrid working model, this level of accessibility is essential for business managers to retrieve real-time data (for example, financial statements and sales revenues) from their ERP system.

Additionally, this SAP cloud solution ensures seamless collaboration among distributed teams, thus helping in project-related activities involving large teams. With its built-in scalability, enterprises can also add more ERP users without any upgrades to their cloud infrastructure.

6. Improved user experience

With its user-friendly and intuitive interface, the SAP S/4 HANA Cloud can improve the user experience. As compared to the “traditional” UI of the on-premise SAP solution, this cloud-powered tool is built on the modern SAP Fiori tool, which provides a holistic experience for business users across various functions and devices.

Thanks to its flexible design, SAP S/4 HANA Cloud makes it simpler for developers to deploy multiple applications across functions like sales, HR, and finance. This is particularly useful for enterprises looking to boost their workforce productivity while minimizing their training expenses.

7. Real-time analytics

Modern enterprises generate massive volumes of data in the form of customer, transactional, and operational data. With traditional legacy systems, they can no longer leverage their data for real-time analytics and insights for decision-making.

By using virtual data models, the SAP S/4 HANA Cloud solution can easily transform real-time data for analytical purposes. Similarly, embedded analytics can provide enterprises access to preconfigured KPIs, dashboards, and analytical reports. Effectively, real-time data analytics enable enterprises to make data-informed business decisions and respond proactively to changing market demands. Additionally, built-in analytics can deliver accurate business forecasts and identify new market opportunities.

In summary

In today’s world of digital technology, enterprises can leverage cloud ERP solutions for improved flexibility, scalability, and security. This is exactly why SAP customers are choosing to move to the SAP S/4 HANA Cloud platform to sustain their business operations.

As a recognized SAP business partner, Praxis Infosolutions has enabled enterprises across the industry domain to leverage the power of cloud-based ERP solutions. Our professional team of ERP experts can help you transition from your on-premises ERP system to the cloud environment.

Do you want to maximize your returns from this innovative SAP solution? We can partner with you. Contact us today with your requirements.

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