Strategic Success: The 8 Building Blocks of Your SAP S/4HANA Transformation- Part 2

An S/4HANA transformation affects much more than the core ERP system – it impacts the entire technological ecosystem of a company. Therefore, connected satellite systems such as Business Intelligence (BI), Human Capital Management (HCM), or Enterprise Content Management (ECM) must be considered early in the planning process.

Equally critical is the choice of the target environment: whether Cloud, On-Premise, Hybrid, or part of SAP RISE or SAP GROW – each variant brings its own requirements for architecture, timing, and testing.

A comprehensive test system landscape, including all interfaces, is essential to prepare for the switch to S/4HANA. Another crucial factor is setting up a temporary project landscape. Only a dedicated transformation environment allows for efficient execution of migration, test cycles, and potential rollbacks.

Recommendation: Plan your technical transformation environment right from the start – holistically, proactively, and aligned with your target architecture. This is the only way to ensure a smooth and future-proof transition into the S/4HANA world.

One of the most important success factors is a smartly defined scope. In structured workshops, you define:

• Which data must be migrated – and which can be archived or deleted?
• Which organizational units are affected?
• Which transformations (e.g., harmonizations, mappings) are required?

The tools cbs Enterprise Analyzer (EA) and cbs Master Data Validation (MDV) support this analysis with fact-based insights – for example, into data volume and usage frequency, as well as S/4HANA complexity indicators such as missing essential S/4HANA must-do functionalities (e.g., New GL or Material Ledger) or harmonization potential for business partners or core OneFinance elements. Especially in the context of SAP RISE or Public Cloud, the volume of data to be migrated plays a critical role: A lean target system not only improves performance but also helps optimize infrastructure and license costs.

A clearly defined scope also creates alignment between IT and business departments and avoids additional effort and unnecessary complexity later in the project. It also sets the foundation for future AI and machine learning capabilities.

Recommendation: Don’t view scoping as a one-time task, but as an iterative process – coordinated between business, IT, and compliance. A well-defined scope is the key to managing effort, timelines, and project success.

In addition to the essential phases of scoping, design, and build, a good strategy also involves planning test cycles early and embedding them into the project plan. Especially when migrating an existing on-premise system landscape to a hyperscaler, early and valid planning is crucial to prevent delays in system provisioning.

Typically, an SDT project includes three test phases:

• Two integration test cycles (including mapping validation)
• One user acceptance test (UAT)
• Optional: regression and performance tests

Important: Each test cycle needs clearly defined milestones (e.g., mapping freezes), responsibilities, and quality gates. This is the only way to avoid surprises during go-live.

With a wave-based approach, particular attention must be paid to regression testing: If some organizational units are already live in the target system, it must be ensured that subsequent migrations do not impact the existing ones. At the same time, adding new units can introduce cross-system processes into the target system, potentially creating new interdependencies. Precise wave planning and targeted regression testing are therefore essential to ensure system stability and process consistency.

Recommendation: Closely integrate your testing activities into the overall project plan – including resources, timelines, system copies, and third-party coordination. Also, focus on early communication to ensure resource availability.

The final – and often underestimated – building block of a successful transformation strategy is the cutover plan: the controlled transition to the new system. The goal with the SDT approach is to make this step as seamless and disruption-free as possible to avoid impacting ongoing business operations.

A core element of the SDT method is the direct data transfer at the table level. This significantly reduces the manual effort required from business and IT during the cutover phase. Regardless of the document status – open, partially processed, or closed – all can be migrated consistently. This means that business users do not need to be heavily involved in preparations. It saves time and ensures a reliable data foundation.

Another advantage: Our approach allows for flexible go-live scheduling – independent of month-end or year-end closing. For particularly critical areas, we offer near-zero-downtime scenarios. These minimize downtime and enable a seamless transition even under the most demanding conditions.

Recommendation: Don’t treat cutover planning as the final project step – integrate it into your overall strategy from the beginning. Perform multiple test runs and reconciliation checks, and define clear go/no-go criteria. Only a structured and well-tested approach ensures a stable and transparent transition – for IT, business departments, and executive leadership alike.