7 steps to a comprehensive decision-making basis for SAP S/4HANA

Many companies still have the SAP S/4HANA transformation ahead of them. In order for the switch to the latest ERP generation to succeed, a holistic perspective is required that not only considers the technological dimension, but also takes strategic and process-related aspects into account. Due to the complexity of the topic, it is essential to thoroughly prepare the SAP S/4HANA transformation.

Checklist for project managers to prepare for SAP S/4HANA

IBsolution has developed a standardized procedure in seven steps that combines numerous best practices, the proven SAP project methodology and our many years of experience in SAP consulting. The aim of this approach is to determine the feasibility and benefits of the SAP S/4HANA transformation for the company based on the corporate strategy (business model, digitalization, sustainability, etc.). As a result, the company receives a tailored roadmap as a reliable basis for decision-making for a successful switch to SAP S/4HANA.

Step #1: Preparation

The pre-study for the SAP S/4HANA transformation usually starts with a kick-off workshop. In terms of content, the aim is for the project participants from the company and the consulting partner to get to know each other, gain an initial overview of the existing system landscape and understand the company’s individual starting situation. In addition, the kick-off workshop should define the goals and expectations of those involved in the project. An initial scoping serves to define the key aspects of the project. The draft of an initial rough schedule concludes the first phase.

Step #2: Focus interviews

As SAP S/4HANA is a strategic project, the involvement and support of the company’s top management is essential. The purpose of focus interviews with the management is to determine the strategic direction of the company. This step is particularly relevant for the SAP S/4HANA implementation, as the future SAP S/4HANA implementation must match the overarching corporate strategy. This approach also establishes important framework conditions and guidelines for the further course of the SAP S/4HANA transformation project. Ultimately, the aim is to confirm the management’s commitment.

Step #3: Potential analysis

Potential optimization and innovation topics for the various departments are identified in workshops with senior management from the relevant departments. If necessary, managers are given an initial impression of the look and feel of SAP S/4HANA with the help of short product demos in order to demonstrate the benefits and strengthen managers’ commitment with the transformation.

Step #4: Structuring and prioritization

Based on the results of the focus interviews and the potential analysis, the topics to be implemented are structured and prioritized. This includes, for example, the definition of topics and content for the upcoming preliminary projects, including a clear allocation of responsibilities, initial cost estimates and a rough schedule. The list of prioritized topics can then be approved by management.

Step #5: Planning the preliminary projects

In several workshops, the participants carry out a rough planning of the work packages, taking into account in particular the respective scope, schedule and framework conditions. Typical topics that are dealt with in separate preliminary projects are master data, Organizational Change Management (OCM), interfaces to sub-systems, migration and the SAP Fiori concept. The aim of this phase is to establish a defined approach for all approved work packages or preliminary projects – including reliable effort estimates and a realistic schedule.

Step #6: SAP S/4HANA business case and roadmap

The next step focuses on defining the SAP S/4HANA business case and the roadmap for the transformation. In this process, the appropriate license model for SAP S/4HANA is also determined if necessary. The creation of a roadmap for the SAP S/4HANA implementation with scope of work, effort estimate and schedule/milestones represents the conclusion of the preliminary study.

Step #7: Presentation of results

The relevant contents of the previous steps are documented and finally presented to the management in a results presentation. Specific recommendations for action point the way forward for the SAP S/4HANA transformation.

Conclusion: Tailored roadmap for the SAP S/4HANA transformation

The more carefully the SAP S/4HANA transformation is prepared, the higher the probability of a successful project implementation afterwards. IBsolution’s standardized approach provides a location and maturity assessment, involves all relevant stakeholders and creates clarity for the next steps. Companies receive a fact-based foundation for decision-making and a tailored roadmap for the introduction of SAP S/4HANA – enabling them to make future-proof and investment-safe decisions and minimize the project risk.