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SAP S/4HANA vs SAP S/4HANA Cloud comparison

 

Comparison Buyer's Guide

Executive Summary

Review summaries and opinions

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Categories and Ranking

SAP S/4HANA
Average Rating
8.4
Reviews Sentiment
6.4
Number of Reviews
119
Ranking in other categories
ERP (1st)
SAP S/4HANA Cloud
Average Rating
8.0
Reviews Sentiment
7.1
Number of Reviews
52
Ranking in other categories
Cloud ERP (3rd)
 

Mindshare comparison

While both are Enterprise Resource Planning solutions, they serve different purposes. SAP S/4HANA is designed for ERP and holds a mindshare of 11.9%, down 16.3% compared to last year.
SAP S/4HANA Cloud, on the other hand, focuses on Cloud ERP, holds 18.9% mindshare, up 12.5% since last year.
ERP
Cloud ERP
 

Featured Reviews

Deepak Madhavan - PeerSpot reviewer
Implementation simplifies ERP management with comprehensive data integration and visibility
A lot of people would say the pricing. SAP is seen as quite expensive even now. It doesn't work for smaller or medium optimizations. The licensing and pricing could be looked at. In Brownfield migration, the trade-off between greenfield and brownfield means you either keep it clean or match the business requirements. Sometimes, it's not possible to do both. While ValixAPI provides significant support in making those decisions and the SAP consultant is very useful, we are still dependent on past history and how it was originally set up. I wouldn't call that a real disadvantage, yet more accessible consulting would be beneficial. Incorporating all other cloud products, like APO or IPP, into the S/4 house might also help.
Sajid Farooq - PeerSpot reviewer
Provides seamless integration of different modules in one place
Certain add-ons like quality control, payroll, and HRMS are not part of the SAP S/4HANA Cloud. SAP S/4HANA Cloud doesn't provide a quality control module. SAP S/4HANA Cloud does not have its own payroll and HRMS system. The partners develop their own cloud and integrate with the solution. There are certain modules specific to some industries, and SAP S/4HANA Cloud doesn't deal with those modules. Every partner of SAP S/4HANA Cloud has to develop its own and then integrate and certify with that solution. We can't say that these modules are part of SAP S/4HANA Cloud. There is a little area of improvement that SAP has to opt for particular types of solutions like QC, payroll, and HRMS. The graphics of SAP S/4HANA Cloud are not user-friendly. They don't look like they belong to a branded solution that costs too much. The solution's user interface is not appealing or user-friendly. On a scale from one to ten, where one is bad and ten is good, I rate the solution's user interface a five out of ten. SAP S/4HANA Cloud has built-in reports that are hard-coated. We have to alter or modify built-in reports in different marking segments, but there are no options for that. We have to build complete reports from scratch, and SAP-developed reports are not used in the market. SAP should provide a tool for customizing its developed reports so that there should not be a process of reengineering or reinventing the process.

Quotes from Members

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Pros

"I strongly recommend SAP S/4HANA for any industry with companies having more than one hundred employees."
"The most valuable feature is probably the full integration with the finance system."
"The user experience is quite attractive, and maybe the efficiency around the consolidation part as well."
"The speed of executing reports has increased significantly. We no longer need day-minus-one business processing."
"S/4HANA falls under a single terminal. We can easily access the data, and the performance is good."
"The finance module is the best thing. It integrates well with other modules, which makes it the best ERP available."
"We have access to all types of reports in a single solution."
"SAP S/4HANA has been an excellent integrated solution for my clients, technically much easier to manage than the ECC solution. The embedded AI layer helps adopt intelligent AI directly within business scenarios, which has been very beneficial. These features enhance operations and efficiency for my clients."
"The most valuable feature of SAP S/4HANA Cloud is the new UX design."
"Finance aspects of it and transportation management, asset management, and inventory management are valuable."
"Speed has improved and getting analytical reports has been simplified."
"It was easy to implement."
"The manufacturing area is a good feature."
"We are a well-established enterprise with a century-long history, and we recently transitioned from an older version to the current support system. This move has allowed us to fully leverage the advantages of the new system, facilitating efficient management of our business processes, including those related to manufacturing and other aspects of our operations."
"The tool selection is really robust and scalable for multiple scenarios."
"SAP S4HANA Cloud is one of the best products in enterprise solutions, especially in manufacturing, retail, logistics, wholesaling, and distribution."
 

Cons

"The tool needs to improve its interface and functionalities."
"SAP S/4HANA offers two deployment options: the private cloud and the public cloud. The private cloud is a comprehensive solution. While it does require numerous approvals, it is a highly reliable product."
"SAP is good, however, SAP users should have the knowledge to tackle SAP effectively."
"The solution’s stability could be improved."
"With the public cloud, now everything is being pushed into BTP. This has created challenges, as it requires us to redo our coding and development."
"SAP S4HANA is not suitable for all-size companies. If you have a small company there are better fit solutions for your needs."
"In a feature release, they could improve by adding budgetary features."
"If I can highlight one point that could be improved, when we talk about other ERPs, like Oracle, nowadays these ERPs provide free integration with other ERPs. For example, there is an API for banks integrated into every tool and every product form requires that bank integration in order to give real time data into the ERP. But SAP is charging a lot for that particular bank integration scenario and I think it should be free because other ERPs are providing this feature built in to the ERP. People always ask us about the integration and how much it will cost to go with that solution, so people are thinking about this."
"Sales data processing was cumbersome with many mandatory inputs. We normalized this by pulling the data out, manipulating it, and sending it back. We also had unique requirements for controlling product availability, ATP checks, and prioritization for certain customers. These were areas specific to our business model that we handled outside the tool."
"The solution’s reporting could be improved."
"It can be done within a few hours, but it also depends on the customer's requirements. If they want some changes, it may be done within one hour. But if there are large-scale changes, it may take one week or one month."
"S/4HANA isn't ideal for managing contracts and subscriptions. There isn't a feature to notify us when a contract for a service we need is approaching its end or a product is no longer supported. You need a separate solution for that."
"Analytics could be improved."
"UX design is not flexible and lacks compatibility with mobile devices."
"We have encountered challenges with integration projects, particularly between SAP and non-SAP systems, which have caused delays."
"The reporting aspect needs improvement, specifically in integrating the EWM and MM modules into a single report."
 

Pricing and Cost Advice

"Regarding pricing, I don't regularly deal with the financial aspects, but it is not a cheap solution."
"The implementation costs of SAP is substantial."
"The product is expensive."
"I would rate the pricing at around six to nine out of ten depending on the edition and deployment type."
"In Nigeria, we have to consider currency conversion rates with the Euro and Dollar that impact the final cost. But I believe that it'll be cheaper in the cloud where SAP has to do the maintenance of the server and more in the long run."
"The pricing model is based on an annual license."
"The solution might be expensive."
"It is never a cheap product since it is a prime tool in the worldwide market."
"The tool's pricing is reasonable."
"I'm not directly involved in the pricing discussions; it's more of a concern for the finance team."
"The license for S/4HANA is expensive, and the licensing structure is hard to understand. The admin license is something like 500 euros per user. Other ERP solutions allowed you to pick only the modules you need. The SAP ECC version requires you to take all the modules even if you are not using them."
"The pricing model can be complicated in certain scenarios."
"This is a pricey solution that best serves large enterprises. Be sure to ensure that your company's requirements need to be fulfilled by SAP. There are many other ERP's that are cheaper yet highly functional. However, it is still cheaper than some of the competition (i.e. Oracle, ESD, etc.)"
"S/4HANA is an enterprise solution that many can't afford. You must invest a lot to get the most out of it. It isn't cheap. I rate the price seven out of 10."
"On a scale from one to ten, where one is cheap, and ten is expensive, I rate the solution's pricing a seven out of ten."
"The pricing is competitive with other products at that level in that category."
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Answers from the Community

RB
Jun 30, 2021
Jun 30, 2021
The main difference is RISE is associated with S/4 Product Range on Cloud while By Design is modeled after SAP Business One also on Cloud. So both are SaaS but the difference is in enterprise size and also application complexities. Also, RISE offers a bundle of pre-configured modules while By Design is similar to B1 with a lot more flexibility and high scalability. License wise both are per us...
See 2 answers
EB
Jun 28, 2021
Hello @Terry Jones ​, @Sanath Premachandra ​, @Ben Melchionno ​and @ASalman. Can you please assist in answering this question?
PB
Jun 30, 2021
The main difference is RISE is associated with S/4 Product Range on Cloud while By Design is modeled after SAP Business One also on Cloud.  So both are SaaS but the difference is in enterprise size and also application complexities. Also, RISE offers a bundle of pre-configured modules while By Design is similar to B1 with a lot more flexibility and high scalability. License wise both are per user on the cloud.
 

Top Industries

By visitors reading reviews
Educational Organization
35%
Manufacturing Company
10%
Computer Software Company
10%
Financial Services Firm
4%
Computer Software Company
16%
Manufacturing Company
12%
Educational Organization
6%
Construction Company
6%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
 

Questions from the Community

Are there any advantages of SAP S4 HANA over SAP Business One (SAP B1) apart from the cost?
SaP Business One is a complete solution for business management. The software applications are broad, ranging from accounting to project management and human resources. It is very versatile and com...
What needs improvement with SAP S4HANA?
There could be a bit more competitiveness in their licensing and pricing.
What is your primary use case for SAP S4HANA?
It is a great product to be implemented for different industries for my customers. Can it be used globally?
What do you like most about SAP S/4HANA Cloud?
The manufacturing area is a good feature.
What is your experience regarding pricing and costs for SAP S/4HANA Cloud?
SAP S/4HANA Cloud is very expensive, both to purchase and maintain. It's important to evaluate the costs of recruiting and maintaining trained personnel as it's not just a one-time payment yet requ...
What needs improvement with SAP S/4HANA Cloud?
The system is very heavy and requires a lot of resources and a dedicated team. It is costly to maintain, demanding trained professionals, which adds to the expenses. This makes the overall cost ver...
 

Also Known As

SAP S4HANA
SAP S4HANA Cloud
 

Overview

 

Sample Customers

Nestle, O.C. Tanner, Sabre, New York Life Insurance Co., MEMEBOX, Siemens AG.
La Trobe University, Carrefour Comércio e Indústria Ltda, Delaware Consulting and Corning Inc.
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