Technical SAP News & Trends That Have A Significant Impact On Companies

Integration unifies disparate data sources to streamline operations, save time, and enhance efficiency, but it can be complex, often requiring experienced software integrators to manage the process effectively.

The recent SAP Sapphire event in Orlando and Barcelona in June 2024 was a crystal-clear reminder that SAP is no longer about sticking to the status quo. It’s about breaking boundaries and transforming the very fabric of how businesses operate.

During the event, Scott Russell, CRO at SAP, invited customers on stage to share how SAP innovations are driving their success. One standout story came from Rob Coombe, CIO of Royal Eswatini Sugar (RES), who spoke about his company’s journey to the public cloud, enabling RES to cut costs by 14% to 18%. Other customers using RISE with SAP also shared how they outperformed the market by 7% in revenue growth.

The message from customer success stories was loud and clear: The SAP landscape is transforming fast, and those willing to shake off the cobwebs are reaping serious rewards.

In this article, we’ll discuss the latest SAP trends that are making a significant impact on companies in terms of increased operational efficiency, cost reduction, and revenue growth.

Unmissable SAP Trends Shaping the Future of Business

1. Adoption of SAP S/4HANA Cloud and RISE

As SAP announced the end of maintenance support for SAP ECC in 2027, businesses are increasingly urged to expedite their migration to the cloud. And the most promising solutions gaining momentum are SAP S/4HANA Cloud and RISE with SAP – both of which empower companies to harness the full potential of cloud technology.

Organisations adopting SAP S/4HANA Cloud are experiencing significant advantages, such as up to a 60% reduction in time-to-value. This rapid deployment is further supported by pre-built platforms, which allow businesses to roll out new features without the traditional downtime or operational disruptions.

On the other hand, RISE with SAP offers a managed cloud service that allows businesses to continue using their traditional on-premise ERP software while integrating modern cloud solutions. This service enables companies to transition at their own pace while maintaining uninterrupted operations. SAP ensures this with an impressive 99.7% uptime guarantee, confirming that companies can enjoy seamless and reliable operations on RISE.

However, many customers still choose to stick with their on-premise infrastructure and manage hosting themselves. This decision often stems from regulatory requirements or perhaps trust issues—who knows? Maybe the cloud needs more time to gain full trust among SAP clients, but SAP is making solid progress in this area.

2. Fiorification of Standard SAP GUI Apps

SAP GUI remains the preferred user interface in many companies because they are accustomed to it and are hesitant to break away from traditional methods. However, numerous large-scale organisations are adopting a strict Fiori-first strategy and activating Fiori apps on S/4HANA. Because they know that Fiori UI can help enhance user experience, increase efficiency, and improve business outcomes.

SAP GUI is characterised by its complex and function-heavy design which could slow down processes and lead to inefficiencies. SAP Fiori, on the other hand, represents a modern, user-centric approach to enterprise applications.

Designed with simplicity and usability in mind, Fiori offers a consistent and intuitive user experience across devices, whether on desktop, tablet, or mobile. On SAP Fiori, employees can complete tasks more quickly and with fewer errors, which directly contributes to increased operational efficiency.

However, some users have expressed concerns about Fiori’s performance. Although Fiori improves intuitiveness, they argue that SAP GUI was quicker and more power-user-friendly. This raises the question: should power-user comfort be prioritised over the ability to onboard new employees more quickly and effectively?

3. AI Integration: Making SAP Smarter and Your Business Faster

It’s truly inspiring to see the strides SAP is making in AI innovation. From predictive analytics, automating processes, and transforming customer experiences, AI integration in SAP is making businesses more agile and responsive.

At the recent SAP Sapphire event, the company unveiled new AI-driven enhancements for SAP Fieldglass solutions and SAP Business Network. In SAP Fieldglass, generative AI simplifies the recruitment process for external workers by allowing hiring managers to quickly create and refine job descriptions. Project managers can also generate detailed statements of work with just a click of the “Enhance with AI” button.

Moreover, AI enhancements in SAP Business Network are transforming how businesses respond to requests for information (RFIs). By automating and optimising RFI responses, companies can achieve a 2-4 times increase in lead conversion and reduce the effort required by up to 75%.

These generative AI capabilities enhance operational efficiency and position companies to respond more effectively and competitively in the marketplace.

The only problem is, AI and its benefits are only as good as the data it’s trained on. Poor data quality leads to poor AI results. SAP clients first need to take care of their data to make the most of AI’s capabilities.

Let’s play devil’s advocate here—are customers truly ready for AI and the advancements of 2024 if many are still struggling to switch to a modern UI like Fiori?

4. Roll Out Of Joule Across the SAP Ecosystem

Joule is the generative AI copilot that is set to revolutionise user interactions within the SAP ecosystem. Initially rolled out in SAP S/4HANA Cloud Public Edition, Joule is designed to be a seamless companion that provides transparent, role-based access to relevant processes from any location. It quickly sorts and contextualises data from multiple systems.

Joule’s capabilities extend across SAP’s portfolio; it also operates in SAP BTP environments like Cloud Foundry, Kyma, and Kubernetes. It is a multi-tenant application that ensures data isolation and independent provisioning for different consumers. It helps developers with AI-powered code suggestions, test data creation, and also helps optimise cloud resource allocation for peak efficiency by analysing usage patterns.

Integrating Joule into your organisational suite offers numerous advantages, including:

• Simplified access to applications.
• Rapid retrieval of business object data, for instance purchase orders.
• Condensed user enablement content for more efficient execution of tasks.
• Access SAP Help Portal content 95% faster.
• Complete control over AI-driven tasks, ensuring the highest standards of data privacy and security.
• With Joule, end users can work 20% more efficiently and with higher-quality results.

5. Major Players Teaming Up

SAP announced collaborations with AWS, Microsoft, Google Cloud, Meta, Mistral AI, and NVIDIA to deliver real, measurable value to its customers. It’s like a tech dream team. These partnerships will make it even easier for customers to adopt RISE with SAP on AWS and embed generative AI across their businesses to drive innovation at an accelerated pace.

6. Sustainability and SAP: Not Just PR Greenwashing

As global ESG regulations become more stringent, companies are under increasing pressure to accurately report their environmental and social impact. SAP has developed AI-enabled ESG tools to facilitate ESG compliance and performance monitoring. These solutions are designed to integrate ESG metrics into core business processes to meet regulatory requirements and drive sustainability.

With ESG integration, companies can generate audit-ready reports, maintain compliance with international standards, and adapt quickly to new regulations as they are introduced.

SAP’s ESG tools include:

• Sustainability Control Tower – It provides a comprehensive view of a company’s ESG data so that businesses can monitor and manage their sustainability performance in terms of carbon emissions, waste management, and social impact.
• Advanced Carbon Calculator – It can be integrated into the SAP ecosystem so that companies can quantify their environmental impact, meet carbon reduction targets, and comply with regulations like the Greenhouse Gas (GHG) Protocol.
• SAP Green Ledger – It will allow companies to connect their financial data with environmental metrics, offering a way to report on sustainability with the same rigour as financial reporting.

Is Your Business Ready for the latest SAP Transformation? Partner with AvoTechs for a Hassle-free Move.

The world of SAP is evolving at a fast pace, helping businesses break free from outdated methods. If your company is still playing it safe, it’s time to shake things up. Embrace these SAP trends not just to keep up—but to lead.

If you’re concerned that your business isn’t ready for this transformation or worried it might disrupt current operations, let us help. We’ll conduct a thorough audit of your tech stack and identify areas for improvement.

Stop playing it safe and start embracing these SAP trends to drive real, impactful change. Because the biggest risk in this era is not taking any risks at all.

Schedule an initial consultation.