SAP Activate Methodology For SAP S/4HANA

SAP S/4HANA On-Premise Implementation Scenarios

SAP S/4HANA offers three main on-premise implementation approaches, each tailored to different transformation goals:

1. New Implementation (Greenfield):

• Builds a fresh S/4HANA system from scratch using SAP Best Practices.
• Ideal for organizations wanting process redesign and simplification.
• Only essential data is migrated; users adopt new processes.

2. System Conversion (Brownfield):

• Upgrades an existing ECC system to S/4HANA with minimal disruption
• Retains existing processes, custom code, and historical data.
• Best for companies wanting to modernize while preserving current investments.

3. Selective Data Transition (Bluefield):

• Combines both approaches to move selected data, configurations, and custom code into a new S/4HANA system.
• Suited for complex landscapes, mergers, or phased transformations
• Offers maximum flexibility but requires expert guidance.

SAP Activate Methodology for SAP S/4HANA On-Premise

1. Discover
The journey begins with discovery. In this phase, organizations assess the value SAP S/4HANA can bring. The strategic planning step involves defining a high-level innovation strategy, digital transformation goals, and creating a multi-year roadmap. Companies explore SAP Business Technology Platform (BTP), integration and extension options, analytics modernization, and security aspects. Tools like SAP Signavio Process Insights and SAP Road Map Explorer are used to analyze the current landscape. Trial systems help simulate potential scenarios, aiding in choosing between a new implementation, system conversion, or selective data transition. By the end of this phase, organizations should have a clear business case, transformation vision, and roadmap in place.

2. Prepare
With strategic alignment and a business case approved, the project moves into active preparation. Here, the project is initiated and foundational setup begins. The organization forms its project governance model, assigns the project team, and prepares its infrastructure. Team enablement and onboarding take place, along with stakeholder and communication planning. Technical activities include prototyping, transition planning, transition preparation (like customer-vendor integration in conversions), and setting up standards for execution, monitoring, and controlling. Deliverables in this phase include a defined project plan, baseline infrastructure, kick-off readiness, and the framework for ongoing change management and enablement strategies.

3. Explore
The heart of solution definition lies in this phase. Organizations use Fit-to-Standard workshops to explore SAP Best Practices. These workshops, run on pre configured systems, enable business users to validate how SAP S/4HANA processes align with their needs. Any delta requirements are documented and prioritized. Alongside, technical design is developed for architecture, security, custom code impact, integration, and analytics. Systems like development and sandbox environments are set up, and data migration design is planned. Test strategies are also outlined. By phase-end, every detail about the functional and technical design is validated and signed off, enabling configuration and development to begin.

4. Realize
This is the implementation phase. Based on the validated designs, the team performs main system configuration, data migration activities, and implements required enhancements or extensions. Unit tests and string tests are executed. Integration and analytics are implemented. Sprints follow an iterative delivery model, closing each with bug fixes, documentation, and walkthroughs. Supporting activities include user experience implementation, security, operations readiness, infrastructure setup, and preparation for go-live (cutover planning). Training materials are finalized and delivered. The key deliverable here is a fully tested solution, ready for production deployment, with key users and support teams enabled.

5. Deploy
Now the project prepares for production cutover. This phase begins with final validation dress rehearsals simulating cutover events to fine-tune execution. Infrastructure and operations readiness is completed. User training is finalized, and system integration validated. Then comes the production cutover itself: the go-live event where SAP S/4HANA becomes operational for end users. Hyper care follows immediately after go-live, with close monitoring, rapid support, and performance tuning. Finally, the system is handed over to the support organization. The project closes formally with sign-offs, capturing lessons learned and ensuring operational readiness

6. Run
Post-deployment, the system enters the continuous improvement phase. Business and IT teams work together to optimize processes, enhance user experience, and unlock further value from SAP S/4HANA capabilities. Innovations are gradually introduced, and the system is stabilized and monitored for performance. Analytics, automation, and intelligent technologies such as AI and machine learning are applied to innovate continuously. Support structures evolve from project mode to operational excellence, and the digital transformation cycle repeats itself with new waves of innovation.

SAP Activate Methodology Phases and Deliverables for SAP S/4HANA Public Cloud Edition

1. Discover
This phase helps organizations evaluate the value of S/4HANA Public Cloud and assess their readiness. Key activities include defining high-level scope, selecting the right implementation partner, fostering a cloud mindset, and initiating change management. Deliverables like the Discovery Assessment help align business and IT goals from the start.

2. Prepare
The project foundation is established—teams are formed, governance is defined, and onboarding begins. Activities include setting up roles, responsibilities, system access, and project planning. This phase ensures all key resources and structures are in place before execution begins..

3. Explore
Through Fit-to-Standard workshops, the team reviews SAP standard processes and adapts them to business needs with minimal customization. Functional gaps are assessed, and the final scope is confirmed. Deliverables include configuration workbooks, business process documents, and a refined implementation plan.

4. Realize
The system is configured and tested based on the design. Agile sprints drive progress, including unit and integration testing, data migration, and training preparation. Organizational readiness is finalized with a configured system, validated data, and user training materials.

5. Deploy
The project transitions to operations. Activities include cutover planning, user training, and final system setup. A go-live decision is supported by rehearsals and readiness checks. The focus is on ensuring a stable production environment and user adoption.

6. Run
After go-live, the system enters steady-state operations. Hypercare support is provided, issues are resolved, and performance is monitored. Continuous improvement and optimization begin, ensuring sustained value from the S/4HANA Public Cloud investment.

VC ERP Consulting helps you with a guided, risk-reduced, and value-driven implementation by combining standard best practices with flexibility and agility tailored for the public cloud environment.

SAP Activate Methodology for SAP S/4HANA Public Cloud edition (2-system landscape)

1. Discover
The journey starts with the Discover phase, where the focus is on understanding the value of SAP S/4HANA Cloud and confirming high-level solution fit. Stakeholders align on goals, and tools like the SAP Digital Discovery Assessment are used to assess needs and readiness for cloud adoption.

2. Prepare
Next is the Prepare phase, laying the groundwork for implementation. The project team is established, systems and tools are provisioned, and governance is defined. Planning begins, with deliverables like the project charter, system setup, and onboarding into SAP Cloud ALM.

3. Explore
In the Explore phase, Fit-to-Standard workshops help validate the solution fit and refine the project scope. The focus is on adopting best practices with minimal customization. Deliverables include process diagrams, test scripts, and fit-gap analyses.

4. Realize
The Realize phase involves configuring the system, integrating processes, migrating data, and conducting iterative testing. Sprints help incrementally validate the solution. Deliverables include configured processes, data loads, and test results confirming readiness.

5. Deploy
During the Deploy phase, final data is loaded, go-live planning is executed, and user training is conducted. The focus is on preparing the organization for live operations, supported by checklists, training materials, and cutover plans.

6. Run
Finally, in the Run phase, the solution goes live. The emphasis shifts to user support, system monitoring, and continuous improvement, using SAP Cloud ALM to maintain stability and adopt innovations over time.

SAP Activate Methodology for SAP S/4HANA Public Cloud edition (3-system landscape)

1. Discover
The journey starts with Discover, where businesses assess SAP S/4HANA Cloud’s capabilities using trial systems and tools like the Digital Discovery Assessment. This helps define the project scope, identify value, and determine fit for purpose..

2. Prepare
In Prepare, the project formally begins. Teams are formed, the Cloud Starter System is accessed, project plans and governance are finalized, and self-enablement starts.

3. Explore
Next is the Explore phase, where solution design takes shape through Fit-to-Standard workshops. SAP experts help validate scope and match requirements to SAP Best Practices. Any gaps are documented for the next phase.

4. Realize
With this foundation, the Realize phase uses iterative cycles to configure the system in Development, replicate it in the Test environment, perform data migration, conduct end-to-end testing, and develop training materials. A key output here is the cutover plan for transitioning to the new system.

5. Deploy
The Deploy phase is where the solution goes live. Final cutover steps are executed, data is migrated to Production, and the organization is trained and prepared for transition. Readiness is verified, open issues are resolved, and business operations begin on SAP S/4HANA Cloud. Post-go-live support plans ensure stability.

6. Run
Finally, in the Run phase, the focus shifts to operational excellence. This includes system monitoring, continuous learning, and adapting to innovations delivered through SAP’s quarterly release cycles. Businesses use feedback, analytics, and improvement tools to optimize the system continuously.

SAP Activate Methodology for conversion of SAP S/4HANA Cloud Public Edition from 2 to 3-system landscape

1. Discover
The journey begins with the Discover phase, which is brief and primarily centered around preparing to launch the conversion. No changes are made to the existing landscape at this point. It’s more about getting familiar with the process, enabling key capabilities, and understanding what a three-system landscape entails. The landscape is still running as a two-system setup, with no interruptions to Q (quality) and P (production) systems.

2. Prepare
The transition truly begins with the Prepare phase, where planning activities are launched in earnest. This includes collecting information on current integrations and analytics, planning how data will be moved to the future test system, and preparing for upcoming technical events. Customers provision SAP Cloud ALM, set up conversion roadmaps, and begin releasing transports. If applicable, they plan test data refreshes and begin evaluating how business operations and transport management will shift post-conversion. During this stage, it’s crucial to conduct pre-conversion checks and confirm readiness for the actual system switchover.

3. Realize
A short downtime follows at the end of the prepare phase, leading into the Realize phase, when SAP executes the backend conversion work. The Q system becomes temporarily unavailable while the new landscape consisting of a test system and development tenant is provisioned. Customers then receive access to this new environment and begin the first “day one” activities, such as setting up initial access, performing quick validations, and adjusting the transport path to reflect the new setup. These are light-touch, critical tasks to ensure continuity, not a full build-out of the test system.

4. Deploy
After initial validations are complete, the project enters the Deploy phase, which is short and serves primarily as a cutover point. Customers verify that everything is working as expected and transition their activities into the new 3-system landscape. With production still untouched, the focus moves into longer-term activities in the final Run phase.

5. Run
In the Run phase, customers complete the full setup of the test system. This includes identity and access management, role adjustments, integration reconnections, and the actual data loading that was planned earlier. Transport management is fully configured for 3-system operations. Enablement materials help users and administrators familiarize themselves with the new environment. The focus here is on completing all remaining tasks that were deferred earlier, ensuring the test system is fully operational and ready for continuous development, testing, and deployment.

SAP Activate Methodology for SAP Cloud ERP Private – New Implementation (Greenfield)

1. Discover

• Understand Clean Core principles, SAP Cloud Journey, and value drivers.
• Run Digital Discovery Assessment, benchmark value, and define a roadmap.
• Select an experienced partner like VC ERP Consulting, establish OCM foundation, and conduct Clean Core Q-Gate 0.

Accelerators: Cloud Mindset Assessment | Partner Selection Guide.

2. Prepare

• Provision systems (SAP Cloud ALM, S/4HANA Starter, BTP/Joule/SAP Build).
• Enable teams on Fiori, Fit-to-Standard, and data migration.
• Launch project governance (SSB), OCM plan, and prep Fit-to-Standard workshops.
• Validate scope via Clean Core Q-Gate 1 and sign off phase.

Accelerators: Project Charter Template | Cutover Strategy

3. Explore ( Design The Solution )

• Run Fit-to-Standard workshops (Finance, COA, processes) and document requirements.
• Prioritize gaps, design extensions (Key-User/Side-by-Side), integrations, and analytics.
• Prep data migration, test strategy, and sprint plans.
• Pass Clean Core Q-Gate 2 before phase sign-off.

Accelerators:  Fit-to-Standard Mural | Backlog Template

4. Realize ( Build & validate )

• Configure processes, master data, and security.
• Develop Clean Core extensions, run data migration (Staging/Direct), and deploy analytics.
• Test rigorously (unit/string/UAT), deliver training, and prep cutover.
• Complete Clean Core Q-Gate 3 and phase sign-off.

Accelerators:  Configuration Tracker | Test Script Templates.

5. Deploy ( Go-Live & stabilize )

• Execute dress rehearsal and cutover plan.
• Set system “Live,” run hypercare, and handover to support.
• Confirm phase closure with final quality gate.

Accelerators:  Cutover Strategy

6. Run ( Optimize & innovate )

• Operate solutions, monitor performance, and manage incidents.
• Track user adoption, measure value realization, and identify innovations.
• Apply updates and pass Clean Core Q-Gate 5.

Accelerators:  UX Adoption Guide | Benchmarking Assessment.

Haven’t implemented SAP yet and looking to accelerate your company’s digitalization? VC ERP Consulting experts are here to support your SAP system implementation and guide you through the digital transformation of your IT landscape.