SAP ERP Solutions have come a long way in the past 30 years but up until the last 5-7 years there were only two ways to run these solutions – host the solution on premise as was traditionally done and later came the option to host it on cloud. This scenario has changed dramatically over the past few years with the latest advancements in cloud computing and enterprise technology.

SAP has established one foundation to serve as the next-generation business suite for becoming an intelligent enterprise: SAP S/4HANA, the digital core for Medium to Large Enterprises. This cutting-edge enterprise solution carries all the functional elements, the data semantics, UX concepts and the common data model.

This robust and modern software suite lets you manage all resources seamlessly from a single control point. SAP S/4HANA consists of software components natively built for the cloud and elements from the classic SAP ERP application that have been innovated in terms of flexibility and user experience and have been retained in an on-premise development model.

Thus, it is now high time to decide how you will proceed with upgrading your SAP landscape and what SAP deployment model will fit your unique business needs.

Before jumping into the deployment options for SAP S/4HANA, it is better to have an in-depth understanding of the core product features, benefits and technical prerequisites.

In this article, SAP S/4HANA experts are going to focus on introducing SAP S/4HANA features, benefits and various deployment options for your business to transform into an ‘intelligent enterprise.’

Why Does Your Business Need SAP S/4HANA?

For today’s evolving businesses, SAP S/4HANA is the perfect fit. It provides speed, flexibility, simplicity, faster analytics, optimized costs and the strength of HANA’s in-memory database.

As of the third quarter of 2021, German software company SAP SE reported a total of 17,500 subscribers for its S/4HANA enterprise resource planning (ERP) package. The total subscriber figure has grown significantly in recent years, from around 370 in 2015 to ten thousand plus just four years later.

Here are some of the many reasons of why your evolving business needs the power of SAP S/4HANA to transform into an intelligent enterprise:
  • Centralize hardware and network resources serving as the digital core for simplified business processes
  • Bring together all the analytical and transactional capabilities of a variety of systems onto one solution
  • Set the stage for future innovation and make future-ready business decisions
  • Plan, execute, generate reports based on live data and enable improved performance with SAP S/4HANA
  • Accelerate time-to-value with built-in best practices
  • Minimize IT landscape complexities to eliminate batch processing, latency, unreliable data and workarounds
  • Optimize business costs and redeploy resources to more strategic pursuits
Now that you are aware about the importance of SAP S/4HANA for your business, it is time to decide what SAP deployment model will fit your business needs best.

Deploy the Right SAP S/4HANA Version For Your Business

Businesses who are planning to move to the next-generation ERP, SAP S/4HANA must compare S/4HANA Cloud vs. on-premises vs. hybrid to decide which is the right choice of deployment.
  • SAP S/4HANA on premise is the ERP business suite where you manage everything from HANA database to applications, data centers, OS, middleware, servers, virtualization and networking
  • SAP S/4HANA cloud is the Solution-as-a-Service (SaaS) version of S/4HANA. Take advantage of all the benefits of on premise SAP S/4HANA without needing the hardware, databases or the IT staff since VC ERP Consulting provides and manages all of it
  • SAP S/4HANA hybrid deployment has two options:
    • Infrastructure-as-a-Service (IaaS)
       In the IaaS option, you manage applicatinbspons, data, runtime, middleware and OS, while VC ERP Consulting manages virtualization, servers and storage.
  • Platform-as-a-Service (PaaS)
       In the PaaS option, only applications and data are managed by the company, while VC ERP takes care of the rest. In both cases, entrepreneurs will need to choose whether cloud applications will be hosted on a public or private cloud.

Below diagram shows all the deployment options available. The blue boxes denote the services managed by VC ERP. The beige boxes denote the assets and services that companies need to manage on their own.

SAP S4HANA cloud vs hybride vs on premises

Points to Consider before going for SAP S/4HANA Hybrid Deployment

Large Medium Enterprises (LMEs), conglomerates or giant businesses considering SAP S/4HANA hybrid deployment need to keep in mind factors such as cost and security depending on the exact mix of deployment.

In addition, companies considering the hybrid model should take the following factors into consideration:

Scenario 1:

Implement the final software on private cloud or on-premises, develop and test on PaaS, such as HANA Cloud Platform due to limited or time-bound activities

Scenario 2:

Use a public cloud temporarily when there is a sudden but short surge in data use, such as promotion or marketing of products or services

Scenario 3:

Integration tools like IPaaS make it easier to choose and implement a hybrid model. This tool delivers cloud services for SAP S/4HANA and SAP ecosystem – applications, data and process integration scenarios. It supports cloud-to-cloud, cloud-to-on-premises and on-premises to on-premises integration.

Scenario 4:

Implementing a hybrid model requires careful consideration of the system maintenance. Cloud maintenance activity tends to impact the flow of data between cloud and on-premises systems.

Scenario 5:

SAP S/4HANA hybrid model turns Capital Expenditure (CapEx) into Operational Expenditure (OpEx).

Enterprises need to weigh in on all the deployment options along with the relevant considerations before choosing the right option as per their unique business needs.

In-depth research and due diligence is the key to enable a successful implementation of the project when done by VC ERP Consulting, one of the best SAP Gold Partners in India.

Implement SAP S/4HANA with VC ERP Consulting Today!

SAP S/4HANA hybrid deployment is designed to assemble a truly customized ecosystem of products that accelerates digital transformation across your business.

However, the tradeoff of this model is that it requires meticulous planning and sufficient resources to manage the newly proposed technological changes.

SAP S/4HANA expert team of consultants at VC ERP Consulting will be delighted to step in as your trusted SAP advisors and help you implement a successful SAP S/4HANA implementation with supporting architecture and infrastructure.

Pave the path towards an intelligent enterprise with VC ERP Consulting Today! Get in touch with expert SAP S/4HANA consultants & advisors at VC ERP Consulting.

Call +91 7948998911 (India), Whatsapp +254 111229970 (Kenya)Call +1 469 915 6026 (North America) or drop an E-mail at