The Problem with the S/4HANA Trial on AWS

Executive Summary

  • SAP offers trials of its products that can be brought up on AWS, GCP, and Azure.
  • However, there can be issues with bringing these trials up and working.

Introduction

SAP images on AWS or GCP are quite limited. This is something which should give one pause given the promotion of SAP on the cloud. A while ago in the article How to Best Understand SAP’s Multicloud Announcement, SAP announced a multicloud strategy, which means that it would begin supporting its applications and databases on multiple cloud providers.

The Benefits of Cloud Service Images

Images are preconfigured items that can be quickly brought up and can have anything from a pre-configured Linux environment setup for SAP to fully functional application. These images are normally set up by third parties and the images can be found on the marketplaces of either AWS or GCP. This is highly appealing both from the perspective of testing, as well as being able to use images for production, development or testing. When are plentiful, this allows those that use cloud services to pick and choose the image that best suits their needs through testing. We often test an image, and then pause or delete the image once the testing is complete.

Licenses

Most of the images for SAP (outside of HANA and SAP Adaptive Server, which SAP is very much trying to promote), most of the images are BYOL, or bring your own license. This reduces the usefulness of the image as you cannot test without already owning a license. Notice the listing below, where the three images install the software, but not the license for S/4HANA, so as we do not posses an S/4HANA license we were not able to test any of these.

We found only thee images on AWS for S/4HANA. And all of these are older versions, as 1809 was the present release as of the time of this publication. 

One of SAP’s most popular applications, SAP BW, has only one image on AWS. And it is for BW/4HANA which only runs on HANA. Therefore the price will be higher than if one does not use HANA (with no loss in performance by the way as we cover in the article What is the Actual HANA Performance). 

This image is returned in the search, however, it is not much more than a tuned Linux image for SAP applications. This is a BYOL and also IYOS (install your own software) requiring you to perform your own installation of SAP products image. These images are a bit misleading because they bring up environments rather than functional items. They are S/4HANA or HANA “ready” rather than the complete image that includes the software. But a license is necessary unless the item comes as part of a trial, which brings us to our next sections. 

Using Trial SAP Products through SAP Cloud

However, while the images within AWS are very limited (and near non-existent on GCP), there are many trials available through SAP Cloud.

The trial versions can be spun up on your choice of cloud service providers. We brought up the SAP S/4HANA 1809, Fully Activated Appliance. It took roughly 1.5 hours to activate. 

For all the talk of the Fiori interface, most of S/4HANA on premises uses the SAPGUI. First, Fiori must be brought up on its own server, an we could not find any Fiori trial (and this would have further complicated the test even if it did exist). So our only ability to access this instance was to use SAPGUI.

After spun up, one can apply the IP to a connection string in the SAP GUI. The connection string is used under the Advanced Tab rather than the System Tab when the connection is over the Internet. 

We tested two instances that we spun up of S/4HANA. Notice the IP addresses to the right. That is what is added to the connection string.

  • In the first instance we brought up we were able to bring up the SAP GUI. However, there is no mention of the username or password in any area of the console.
  • In the second instance (the one you see above) we were not able to actually bring up the SAPGUI.

Conclusion

We brought up this appliance trial to perform a test. And we were unsuccessful in actually accessing the instance that we brought up. This had to do with connecting the SAPGUI to the instance. The console is missing information that we need to login to the application. An SAP Basis resource could figure this out, but SAP could make it far easier to use their trials if they included better documentation as part of the console. We used SAP Cloud as part of a test, however, we do not recommend actually bringing up applications through the SAP Cloud because while it can be easier (although as you can see there are also complications) SAP places a very large margin on the cloud service providers. And second, we don’t trust SAP to set up systems on the cloud the way we would trust a third party that does this type of work as their specialty. SAP’s margin is so high on the cloud service provider, that a fraction of that money that would be given to SAP could be used to access top talent. In this way, the customer is able to cut the reliance on SAP or the partner that they recommend using.

We will try to bring up other images and update this article accordingly.

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AWS and Google Cloud Book

How to Leverage AWS and Google Cloud for SAP and Oracle Environments

Interested in how to use AWS and Google Cloud for on-premises environments, and why this is one of the primary ways to obtain more value from SAP and Oracle? See the link for an explanation of the book. This is a book that provides an overview that no one interested in the cloud for SAP and Oracle should go without reading.

How to Understand Why S/4HANA is a Poor Fit for the Cloud

Executive Summary

  • There is a poor fit between S/4HANA and the cloud which is hidden by the fact that SAP commingles S/4HANA Cloud with S/4HANA on premises.
  • For this article, we needed to cover ASP (Application Service Provider) versus “single =tenant” versus “private cloud.”
  • Wikipedia’s definition of the private cloud.
  • The problems with the lack of customizations possible with single-tenant SaaS.

Introduction to The Real Story on Cloud and S/4HANA

While researching the actual history of S/4HANA implementations, something that came to the surface is how rare it was for any S/4HANA implementation to be in the cloud. This is curious because so much of SAP’s marketing around S/4HANA has been used promoting S/4HANA Cloud as an application that is flexibly deployed. In this article, you will learn the real story on the applicability of the S/4HANA Cloud to the cloud.

What is the Cloud or SaaS?

Many people think that the cloud aka SaaS is undefinable and or that any claim by a vendor that something is cloud should be accepted as true. However, in fact, SaaS is actually very well defined. The terms SaaS and cloud are quite often used interchangeably. So while not entirely overlapping, they will be considered synonyms for this review.

Important supporting words are as follows:

  • Hosted: This means that the application is on servers that are outside of the company that uses them. It does not mean anything more than that. Sometimes hosted is used to be considered distinct from SaaS. But this is inaccurate. SaaS is a particular modality of hosting, and the benefits of SaaS do not generalize to any application that is hosted.
  • Application Service Provider (ASP): This means that the application is provided by an outsourced company that is not a SaaS/cloud arrangement.
  • Single tenant: This is where a single customer is supported by a hosted application.
  • Multitenant: This is where multiple customers are supported by a hosted applications.

Understanding the Interrelationships of SaaS

The interrelationships will be reviewed in this paper.

  • The Public Cloud
  • ASP
  • Private Cloud

The Public Cloud

The term public cloud is almost never used except when in the same sentence as the term private cloud. In the vast majority of cases, the term public cloud is used without a modifier, i.e., just the “cloud.”

ASP (Application Service Provider) Versus “Single-=Tenant” Versus “Private Cloud”

All of these terms have different origins. All are adjectives to define better a software instance which is a “hosted” service with a single tenant as opposed to multi-tenant, which is one of the basic requirements for SaaS.

The Private Cloud

The problem with this term is that “private cloud” is that it’s a bit of a misnomer because the term does not actually fit the definition of cloud computing. Cloud computing both implies and requires shared resources.  Regardless, private clouds are often lauded for their improved security. Still, they have a fundamental limitation. They do not offer the many benefits of cloud, public cloud or SaaS, and they do not scale well.

The Wikipedia Definition of Private Cloud

Wikipedia has a good description of private cloud, which states “they have attracted criticism because customers “still have to buy, build, and manage them,” and thus do not benefit from less hands-on management, essentially “[lacking] the economic model that makes Cloud computing such an intriguing concept.”

SAP’s marketing materials show many cloud-based third-party applications. However, SAP does little of its own hosting except for its newly acquired applications that were already cloud-based before they were purchased. Therefore, most of SAP’s database and applications revenue is from applications not in the cloud. S/4HANA Cloud matches this pattern by having very few customers. 

There is no doubt that Concur, Fieldglass, Ariba, and SuccessFactors are delivered via SaaS. Those vendors have traditionally been delivered through SaaS. But they are much more straightforward applications than an ERP system. However, S/4HANA Cloud is not delivered through SaaS to any substantial number of companies or any companies of substantial size. The larger the company, generally the larger and more complex the requirements, and the more need for customization, which moves the company away from being able to use SaaS ERP applications, which includes S/4HANA Cloud.

  • Any level of complexity and customization can be supported by hosting the ERP system or what is called a private cloud.
  • But then almost all the advantages of SaaS are lost. All that is done that differentiates this from on-premises is the hardware switches locations from the customer to the vendor.

No Customization a Foundation for SaaS

SaaS customization was first reviewed above in the section on multi-tenancy (i.e., One Code Base — Multi and Single Tenancy). SaaS’s underlying data model and system architecture are not customizable. “No Customization” allows the SaaS software vendor to spend less time dealing with various platform patching, compatibility issues, and individual upgrades.

In fact, a true SaaS vendor is supposed to upgrade a single instance, which then updates all customers simultaneously. This should then imply less support expense.

The Reality of No Customization of And ERP System

SaaS applications tend to predominantly be simple applications that are not customized for each client. The fertile areas of SaaS tend to be applications such as bill of materials management, CRM, HRMS, travel and expense, online meetings and email.

However, the current trend indicates that software vendors are increasingly moving more complicated applications, which have a long history of being customized, to the cloud.

That being said, we do not foresee that the need for customizations will abruptly come to an end just because applications move to the cloud.  For example, SAP’s ERP system, called ECC, is either highly or moderately customized in 92 percent of instances.  SAP’s replacement for ECC, called S/4HANA, will be made available in the cloud.

However, serious questions remain concerning customization and how these customizations will be ported to a SaaS environment as proposed by S/4HANA Cloud. In fact, such questions are already starting to emerge.

Example

For example, the following excerpt from a recent review of S4 HANA Cloud shows these questions arising:

“I’m examining the degree of “SaaSiness” within the scope of S4 HANA – I’m not using it as a standard in comparison to other non-SAP SaaS applications. There are definitely other “purer” SaaS applications in the market but such a comparison isn’t the focus of this piece. Although there are theoretically pure “Private” and “Public” versions of S4 HANA, company-specific manifestations will probably emerge that combine various characteristics of each extreme.

For example, one SI may allow greater customizing for customers at the expense of a weaker SLA or at a higher cost.  Furthermore, a company/SI could have multiple S4 HANA-related offers to meet the needs of different customers/business requirements.” – Diginomica

In my view, this industry expert is granting SAP SaaS status before SAP has proven this capability. This expert even states that he is not focusing on how pure S/4HANA is for SaaS because it is not the focus of his attention. However, he is assuming S/4HANA Cloud is SaaS or presenting it as such. I do not see who would care what the focus of his attention is or isn’t. Something either meets a definition of a term or it does not.

Will SAP Be Actually Providing the Hosting?

In most cases though, SAP will not be doing the hosting. There may be cases where the instance is hosted by a firm such as AWS. (In that case, it is also not multi-tenant.) This expert points this third-party hosting capability out in a different part of his article:

“However, there is no reason why a partner couldn’t duplicate this offer for its customers – even exploiting HANA’s multi-tenancy feature included as part of SP9.”

S/4HANA is currently going through a rapid development cycle, with new functionality being released each quarter. The S/4HANA Cloud version lags the S/4HANA on-premises version. It is likely that even when this cycle slows, there will be SAP customers on different versions of this ERP system.

Can S/4HANA Be a Cloud/SaaS Application?

S/4HANA will, in most cases, be implemented with customization requirements. This precludes S/4HANA from being a true SaaS application. SAP also does not follow most of the other SaaS characteristics, and this categorizes S/4HANA as a non-SaaS application. Only the smallest customers will be able to use S/4HANA in a non-customized way. However, S/4HANA is a Rolex watch regarding cost and complexity. ECC had the highest TCO of any ERP system.

See details on the TCO of ECC in the online TCO calculators at this link.

A Top Cloud ERP Vendor’s View on Customization and SaaS

I wanted to get another viewpoint on this conflict between customization and SaaS delivery and S/4HANA Cloud, and the normal requirement for customization in the ERP software category. So I reached out to Rushabh Mehta who leads ERPNext and whom I happen to know has quite a few customers on SaaS delivery for their software. He had this to say on the topic.

“The problem of mass customization, which seems intractable from a pure SAAS point of view, is solvable with a plug-in architecture. An Cloud ERP does not have to be pure multi-tenant, but multi-tenancy can be built on basis of virtualization so you can technically run a multi-tenant cloud with each customer in a separate VM running own set of plug-ins. This would still be some kind of a hybrid “cloud” as long as all customers get upgraded simultaneously. I think it is possible, though I have no idea how “pluggable” is the S/4HANA architecture is.”

Pluggable means that extensions or add-ins from outside vendors can be easily added to the core product. The S/4HANA architecture is not pluggable. It is, in fact, the exact opposite of pluggable.

This is a critical distinction to understand because SAP has for years made it difficult to connect applications to its software. This is used to create a barrier to entry to push customers back to using other non-ERP SAP applications. Software companies develop integrations to SAP ERP, but these are not plug-ins, so that is a different topic.

ABAP Customization of ECC

Customization is written in ABAP to pull in functionality from pre-existing applications the company wrote, or enhancements to ERP. These are one-off and are not shared or at least very little shared between clients.

Let us get back to another quote from Rushabh:

“From the other side, I don’t think any vendor has been able to fix this problem, even for small businesses. The reason in my view is that the incentive for revenue is stacked up in the favor of large-scale customization (emphasis added). So from the SAP point of view, even if they could pull of a common code-base across the cloud with a really cool plug-in architecture, their heart can never be in it, because it’s a recipe to kill their revenue. Companies can spend ~1% of their annual expense on their ERP system and SAP wants to collect all of that tax/rent.”

Is SAP Going to Open Up?

SAP will often give lip service to opening an allowing more interoperability with other vendors. For instance, they talked a good game with SOA. They talk a good game about partnering with software vendors. However, they undermined those partnerships and tried to get companies not to buy from their “partners.” I covered this topic quite extensively from the perspective of something called indirect access in many articles, one being How SAP is Now Strip Mining its Customers.

“That is the core of the problem – not only for SAP but also the entire ERP industry – There is just too much money on the table (esp for large companies) and they see no reason to push for mass customization when customers are ready to pay for re-inventing the wheel every single time.”

SAP does not make much money from customizations, but the SAP consulting companies do.

My take is a bit different from Rushabh’s here. My view is that SAP can only bring out so much functionality, and it cannot (obviously) meet all requirements. To Rushabh’s earlier point, SAP has no plug-in architecture to allow other companies to come in and develop add-ons to ECC/S/4HANA. The approach with SAP been one-off customizations.

Conclusion

SAP’s strategy with S/4HANA Cloud, or delivered by SaaS does not make any sense. It is not working currently and is unlikely to work in the future. The strategy appears to have been hatched by SAP marketing to appeal to Wall Street and to seem leading edge, without consideration for what makes an actual SaaS solution beneficial over a hosted or private cloud.

We predict that SAP will continue to pretend it has a viable “SaaS” option available, but will merely end up hosting/private cloud managing S/4HANA for some companies because the benefits of doing so will be to continue to obtain a higher multiple for their stock price.

See our The S/4HANA Implementation Study. for real story and details on actual S/4HANA implementations.

Brightwork Disclosure

Financial Bias Disclosure

This article and no other article on the Brightwork website is paid for by a software vendor, including Oracle and SAP. Brightwork does offer competitive intelligence work to vendors as part of its business, but no published research or articles are written with any financial consideration. As part of Brightwork’s commitment to publishing independent, unbiased research, the company’s business model is driven by consulting services; no paid media placements are accepted.

HANA & S/4HANA Question Box

  • Have Questions About S/4HANA & HANA?

    It is difficult for most companies to make improvements in S/4HANA and HANA without outside advice. And it is close to impossible to get honest S/4HANA and HANA advice from large consulting companies. We offer remote unbiased multi-dimension S/4HANA and HANA support.

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References

https://www.informationweek.com/private-clouds-take-shape/d/d-id/1070793?

https://en.wikipedia.org/wiki/Cloud_computing#Private_cloud

https://www.cnet.com/news/just-dont-call-them-private-clouds/

https://www.erpnext.com

https://www.informationweek.com/cloud.asp

https://diginomica.com/2015/05/18/white-boarding-sap-s4-hana/

Is S/4HANA Actually Designed for the Cloud?

What This Article Covers

  • Hasso’s Summary of the Benefits of SAP S/4 HANA
  • S4HANA Cloud
  • SAP’s New Customer Facing Applications?
  • SAP Offers a Unique Suite of Products?
  • SAP HANA Cloud Platform Allows for Easy Implementation and Extension?
  • Did SAP See a Dramatic Increase in SAP S/4HANA in the Third Quarter?
  • A Lack of Information or Overly Conservative Attitude Hinders Companies to Move to S/4HANA?

Introduction

One of the common areas of confusion is S4HANA cloud. That is the deployment of S/4HANA in the cloud. S4HANA cloud is the concept, often presented by SAP S/4HANA is somehow explicitly designed for the cloud.

There has been a great motivation of SAP to commingle both HANA and S/4HANA with the cloud. In this article, we will review how legitimate this is.

Hasso on S/4HANA Deployment in the Cloud

Hasso Plattner had the following to say on S/4HANA Cloud deployment.

‘There are many advantages to deploy the system in the cloud, but if regional preferences call for an implementation on premise — no problem, it might be just a different cost factor. It has to be understood that the deployment in the cloud has a principal advantage when it comes to the implementation of new functionality. Just take the new online sales scenarios with different revenue creation and recognition practices. Most companies will be in need of these features pretty soon and only with SAP S/4HANA can really accelerate the adoption. SAP offers a test migration of SAP ECC 6.0 systems in the cloud and the customer can later decide where to run the production system.”

Implementing in the Cloud?: Implementing HANA (the database) in the cloud is quite expensive, as I cover in What SAP Moving to the Cloud Means for Current HANA On-Premises Purchases.

Hasso may want to explain why, so few HANA purchases are sold in the cloud. The latter part of this paragraph seems to have some logical connection problems. However, SAP S/4HANA is simply ECC ported to HANA. So it does not make sense to say that it will

“actually accelerate the adoption”

..of something.

And again, Hasso seems to be relying on the assumption that SAP S/4HANA is going to be sold in the cloud quite a bit, which remains to be seen.

But if the software is sold in the cloud or is installed on premises, this does say things about functionality. Cloud applications do tend to be more distributed than on-premises applications — so cloud may say something about access — but it does not relate to the functionality — such as the sales scenarios, revenue creation, and recognition practices.

Analysis of Hasso’s Statements

HANA has nothing really to do with the cloud. HANA can be placed in the cloud, just like other databases, but up until this point, there have been few cloud-based implementations of HANA.

S4HANA cloud is a term that sounds new and different, but in fact, S/4HANA is not particularly cloud-centric or cloud ready. As so few SAP ERP instances lack customization, it is unlikely that..

“S4HANA cloud”

will be much of a factor into the future.

But what Hasso is describing here is nonsense. It is merely a series of words strung together designed to make an impact, but upon review, the concepts explained here by Hasso by not correct.

Now let us look at the significant points one by one.

SAP’s New Customer Facing Applications?

“With New Customer Facing Applications Like Those From Hybris. Success Factors, Ariba, Field Glass, Concur and the Internet of Things projects with SAP HANA Vora.” 

This is similar to Hasso’s argument regarding Hadoop that I have been pointing out.

None of these items that Hasso is referring to have anything to do with S/4HANA. It is not a “unique offering” it is a particular offering based upon some somewhat foreign acquisitions that SAP has engaged in to get the analysts thinking that SAP is becoming a cloud company so that it will get the stock price up.

SAP Offers a Unique Suite of Products?

“SAP Offers a Unique Suite of Products, which Can be Installed and Activated Quickly.”

Well, the acquired products — which are cloud-based do install quickly. But if we are talking about S/4, there is no reason to think that S/4HANA will install (or be implemented is what Hasso must mean, as installation does not take you live) quickly. S/4 will be a tough installation.

So Hasso seems to be trying to commingle the implementation ease of say Success Factors with S/4, and the two applications have nothing to with one another.

SAP HANA Cloud Platform Allows for Easy Implementation and Extension?

“The SAP HANA Cloud Platform Allows for Easy Implementations of Extensions to Integrate other Software Products or Bespoke applications.”

SAP has followed a multi-decade strategy of making itself difficult to integrate to so that other software vendors would be at a disadvantage against them.

SAP’s strategy was to capture the ERP system, and then push into other application areas using the argument that integrating with other vendors was risky. Why SAP would reverse, this decade’s long strategy, that has turned them into the largest enterprise software company in the world is difficult to swallow.

Did SAP See a Dramatic Increase in SAP S/4HANA in the Third Quarter?

“SAP Saw a Dramatic Increase in SAP S/4HANA Projects in the Third Quarter.”

We don’t know if this is true, as SAP has even stopped breaking out HANA license purchases. The dramatic increase, if it occurred would be on a minuscule base of S/4 projects. However years after this statement (July 2018, S4HANA has continued to have few implementations with SAP’s June 2018 estimates of 1500 live S4HANA implementations false)

A Lack of Information or Overly Conservative Attitude Hinders Companies to Move to S/4HANA?

“It Would be a Shame if Lack of Information or an Overly Conservative Attitude Hinders Companies… to Make the Move to SAP S/4HANA.”

SAP customers have been bombarded by HANA information. HANA has been SAP major marketing tentpole for over 4.5 years as I covered in Has SAP’s Relentless HANA Push Paid Off? 

So a lack of information cannot be blamed for hindering companies from moving to S/4HANA.

I am in contact with some businesses and what is blocking enterprises in this regards is that S/4 is too expensive, it is too risky, it dictates to the customer too much, and furthermore many previous promises regarding how SAP’s products would benefit them have not paid off. That is the truth.

See our The S/4HANA Implementation Study for real story and details on actual S4HANA implementations.

The Wall Street Journal’s Cloud Confusion

I have recently forwarded an article by a cloud vendor from the Wall Street Journal blog. One quotation caught my eye.

“In the process, she’s pitted Kenandy against both software giants like SAP and Oracle and older manufacturing software companies like QAD, all of which are racing to redesign their software for the cloud.”

That is interesting, because the ability to offer applications by cloud has existed for some time, and the only SAP product that is I can think of that is cloud-based is SAP’s product offered through Amazon’s AWS service, which represents some minuscule percentage of SAP’s global revenue. Secondly, the article does not seem to consider that enterprise cloud is the opposite of SAP’s business model, and cloud represents one the most significant challenges to how SAP does business. To highlight this, let’s discuss what cloud is.

Cloud is where a hosted solution, which is already up and running at a software vendor (typically), allows a client to access its services in return for a monthly fee. The features of cloud are the following:

  1. Cloud solutions implement very quickly, because the installation is already complete, and it is a matter of configuring a running application.
  2. Cloud solutions have the highest value in the enterprise software space. The total cost of ownership of cloud solutions tends to be low compared to the on-premises model.
  3. Cloud solutions provide tend to have a lower sales orientation and offer online trials of their software, which means that clients have a better idea of what they are buying than on-premises implementations. I cover in this article and the book Supply Chain Forecasting Software. That most companies select the wrong forecasting applications for a variety of reasons, but major ones being that they generally don’t understand the software they are buying very well, and are misled by large consulting companies and companies like SAP and Oracle into buying weak applications due to the tremendous marketing muscle of the significant monopoly vendors.
  4. Cloud solutions do not tend to follow the standard enterprise sales model that is controlled and distorted by corrupt consulting companies intent on recommending software, like SAP, that maximizes their revenues at the cost of their client’s interests.
  5. Cloud vendors provide a high degree of flexibility to their clients, and companies can much more easily switch between cloud providers as the fees are monthly. Cloud solution providers are very much about providing value to clients rather than locking them in. SAP, Oracle, and IBM are about locking their clients in solutions.

Monopoly Power

SAP is a monopoly vendor, much like Microsoft, that puts out uncompetitive software that is propped up by relationships that restrict the choice of consumers in the marketplace. In the case of Microsoft, they have relationships with retailers and computer OEMs. SAP has relationships with the advisory companies that recommend software in the enterprise space. Neither SAP nor Microsoft can win anywhere near as much as they do in a competitive market. Both vendors also very much have a strategy based on “lock-in.” Companies are very hesitant to move to a new solution once they invest so much money in SAP. This is true even if the results are poor. However, cloud allows clients to leave as the contracts are month to month freely. SAP has no interest in this business model. Cloud is the exact opposite of how SAP, Oracle, and IBM have made their money and become highly successful organizations.

Can Cloud Fight Monopoly Power in Enterprise Software?

Cloud has the potential one of the few industry trends that have the potential to undermine the monopoly power of the companies. The author states in the article that was forwarded to me that SAP and Oracle at least are “racing to redesign their software for the cloud”? How did this author “learn” that SAP is racing to cloud enable their applications? Did they hear this from an SAP representative and then retype the statement.

Conclusion

There is not much to take away from this section of the paper by Hasso Plattner. The statements are not substantiated and once against Hasso Plattner can’t seem to get through more than a few sentences without unleashing some falsehood. In July 2018 (when this article was last updated) S/4HANA still has less than 100 S/4HANA Cloud customers live. And the customer that are live looks suspicious as the following graphic shows.

Almost every company on this list of S4HANA customers is an SAP consulting partner. However, these are not real customers. They implemented S4HANA Cloud to build skills to resell S4HANA consulting projects. No professional services company needs an ERP system; they only need HR and finance functionality. All of these companies would have been far better off implementing Workday. 

Financial Bias Disclosure

This article and no other article on the Brightwork website is paid for by a software vendor, including Oracle and SAP. Brightwork does offer competitive intelligence work to vendors as part of its business, but no published research or articles are written with any financial consideration. As part of Brightwork’s commitment to publishing independent, unbiased research, the company’s business model is driven by consulting services; no paid media placements are accepted.

HANA & S/4HANA Question Box

  • Have Questions About S/4HANA & HANA?

    It is difficult for most companies to make improvements in S/4HANA and HANA without outside advice. And it is close to impossible to get honest S/4HANA and HANA advice from large consulting companies. We offer remote unbiased multi-dimension S/4HANA and HANA support.

    Just fill out the form below and we'll be in touch.

References

https://blogs.wsj.com/digits/2012/05/04/silicon-valley-pioneer-kurtzig-goes-after-sap-oracle/?mod=google_news_blog

I cover how to interpret risk for IT projects in the following book.

The Risk Estimation Book

 

Software RiskRethinking Enterprise Software Risk: Controlling the Main Risk Factors on IT Projects

Better Managing Software Risk

The software implementation is risky business and success is not a certainty. But you can reduce risk with the strategies in this book. Undertaking software selection and implementation without approximating the project’s risk is a poor way to make decisions about either projects or software. But that’s the way many companies do business, even though 50 percent of IT implementations are deemed failures.

Finding What Works and What Doesn’t

In this book, you will review the strategies commonly used by most companies for mitigating software project risk–and learn why these plans don’t work–and then acquire practical and realistic strategies that will help you to maximize success on your software implementation.

Chapters

Chapter 1: Introduction
Chapter 2: Enterprise Software Risk Management
Chapter 3: The Basics of Enterprise Software Risk Management
Chapter 4: Understanding the Enterprise Software Market
Chapter 5: Software Sell-ability versus Implementability
Chapter 6: Selecting the Right IT Consultant
Chapter 7: How to Use the Reports of Analysts Like Gartner
Chapter 8: How to Interpret Vendor-Provided Information to Reduce Project Risk
Chapter 9: Evaluating Implementation Preparedness
Chapter 10: Using TCO for Decision Making
Chapter 11: The Software Decisions’ Risk Component Model

Risk Estimation and Calculation

Risk Estimation and Calculation

See our free project risk estimators that are available per application. The provide a method of risk analysis that is not available from other sources.

project_software_risk