What is our primary use case?
The use cases are for ERP, for manufacturing, for sales, for finance, HR, material management. Normally, all the basic modules of any ERP package.
How has it helped my organization?
Right now, SAP uses the HANA database. It is a real-time database, or as SAP calls it, an in-memory database. For all current transactions, SAP has layered the database into different layers. All the current databases are stored in memory, which makes processing them very fast.
Secondly, the most important thing is that Oracle or Microsoft Dynamics still uses the RDBMS concept in the database. That's what any standard ERP has been using all this while. What SAP HANA does, the HANA database, is store it in a linear fashion. It's a linear database.
See, if I have to draw an analogy, suppose I ask Mr. X. He enters an apartment, and then I ask him to gather five books from five bedrooms. He has to run to each bedroom to get a book. And then I have another apartment where there is one big bedroom. That's what is a linear database. And there are five books stored in that one big shelf. That's the difference between previous RDBMS databases and the HANA database. So the response time is much quicker.
It takes care of very high-volume manufacturing MRP runs, where the MRP run is done across geographies. This kind of in-memory database helps out a lot. Then, the current database is stored next.
The other part is that near-line storage. That's the second layer of the HANA database, where they store the not-so-current data. And the rest of the old data is stored in the data lake layer of the HANA database.
What is most valuable?
The biggest value of SAP S/4HANA is its integration aspects—across business modules, and not only across business modules—its integration or interoperability with other third-party systems and its ease of use.
Previously, SAP versions used to be quite cumbersome for the end-users. Now SAP S/4HANA has a totally different approach. They use Fiori landing pages, which makes life better.
The integration aspect is the cake. Normally, other ERP packages - I have worked with Oracle ERP, I have worked with Bond previously, and even Microsoft Dynamics - they claim to have integration across modules. But the reality is something different.
Now, by integration, what happens is that... Suppose I give you an example of Oracle Financials or Oracle Manufacturing. You do a transaction in Sales, and then you have to make corresponding entries in Finance and Manufacturing and go back into Sales to ensure that it integrates. They try to propagate it as an integration highlight, which is not the case with SAP. In SAP S/4HANA, I make a sales entry, and I don't have to patch anything. I don't have to make corresponding entries anywhere in any other modules. It will have corresponding entries already made in finance and manufacturing.
For any other ERP, like Point M, Microsoft Dynamics, and all, I would have to manually make those entries. And they call it integration. Giving a facility to manually enter and then calling it integration is something I don't like to call integration.
In SAP, I make an entry, and it has corresponding entries automatically done. There's a chain of events that happens in the respective modules. The integration aspect is so significant.
What needs improvement?
It's a continuous improvement process. Maybe right now, as this is evolving, I find it's quite good. The only thing is the pricing of S/4HANA Cloud. It needs to be taken care of.
Previously, very small business owners could go ahead and implement it on-premise, separately, according to their needs. Now, the cloud subscription using the SaaS model is quite expensive. It's beyond the reach of small and medium-sized businesses.
For how long have I used the solution?
I have been using it for more than ten years.
Now, there is no on-premise version. Everything is on the Cloud now. And these S/4HANA versions are now called RISE with SAP S/4HANA Cloud and GROW with SAP S/4HANA Cloud Public Edition [it started just this year].
So, I have worked with both, RISE and GROW editions.
What do I think about the stability of the solution?
I would rate the stability a ten out of ten. I have never seen such a stable solution.
What do I think about the scalability of the solution?
I would rate the scalability an eight out of ten. The solution itself is scalable as it depends on the consultants who are deployed for the solution.
In SAP, there is no one right solution. You can deploy a solution in three, four different ways, and all can be right. Now, what is a better solution? There can be variations of what is better or not, depending on the scalability of that solution. But once I add new product lines and some new plants, I see a new client or a new company code. How much do I have to change in my production? That is where the scalability of the solution depends. That is what differentiates a good consultant from a not-so-good consultant.
Because everyone deploys the right solution. The only thing is how scalable the solution is.
How are customer service and support?
Customer service and support are pain points. For the cloud solution, deployability, or the installation of the certificates, that is great; there is no problem with the support. But when there is a certain thing, like the other three problems, where we need to call up the help desk, we might not get a very good answer or feedback from them.
At the end of the day, although it is SAP, a big company, the people who are sitting there to help us are quite junior consultants. So, the answers to the questions are very... I mean, it's a mundane answer given a lot of times. So, there's a lot to be desired.
So, SAP needs some improvement in the technical support part too.
How would you rate customer service and support?
How was the initial setup?
I would rate my experience with the initial setup an eight out of ten, with one being difficult and ten being easy. It's very easy to set up. In SAP, RISE with SAP S/4HANA Cloud and GROW S/4HANA are the two versions available now in the public and private cloud. You don't have to set up anything. SAP does everything for you.
Previously, you needed to deploy basis or admin consultant to set up the systems. It's either from the consulting side or from the end-user side. Now you don't need to do anything. SAP actually does everything for you.
The deployment model depends on the kind of customization required. If the business requires a highly customized solution, they have to go for a private cloud. The other option is to go for public cloud. Now, public cloud is much cheaper, almost 50% of the price of a private cloud subscription. But it is very difficult to do customizations there.
But there is another aspect to it. You can always do those customizations in SAP BTP (Business Technology Platform). Now, what SAP has been recommending for the last two or three years is not to mess up your core SAP system. There is a parallel platform they use again, which is the Business Technology Platform. They ask you to do all your programming, customization, analytics, and AI tools there. It's embedded in that Business Technology Platform. They ask you to do all your customizations there. So it should not be a problem, whether it's a private or public cloud. It all depends on the budget of the customer.
Basically, people choose the hyperscalers. But if they use something like Control S or some other smaller providers, then some of the freebies are not available. But whatever is the subscription fee for SAP, it's not only the SAP license, it also includes the cloud hosting fees. Everything is a one-package solution.
The deployment time varies and depends on different factors. The current project I'm doing is a public cloud implementation with SAP. Obviously, we intend to go live in six months' time. But if the go-live is in five months with, let's assume, customized programs of a magnitude of a hundred programs, we can go live in five to six months. But with larger, customizable business processes, then it will take longer, maybe even a year, another six months.
So, normally, it should take something around six months to one year. We have big businesses as our customers. So, the deployment takes a lot of time for large infrastructure.
What's my experience with pricing, setup cost, and licensing?
I would rate the value for money an eight out of ten.
What other advice do I have?
Overall, I would rate the solution an eight out of ten. SAP is a state-of-the-art solution. I have never seen, and I can't compare it with, any other competitor.
The depth of the solution is huge. The cost and affordability are the biggest concerns. Price is an obstacle. It will be an obstacle for small and medium-sized enterprises.
It's a lovely solution. But, I don't recommend it for very small enterprises. Why? Because it's like we are bringing in a nuclear bomb for just a street fight. It would be too excessive for them for small businesses to get such a huge solution.
Which deployment model are you using for this solution?
Hybrid Cloud
Disclosure: My company has a business relationship with this vendor other than being a customer. consultant