Accelerating Finance Functions in the Life Sciences Sector with SAP S/4HANA

⇨ Life sciences finance executives should constantly gauge the financial implications of R&D’s latest product launch timing, the growing complexity of supply chains and legal entity structures, mergers and acquisitions, patent expiry strategies and increasing regulatory demands.

⇨ Companies are recommended to seek advice from professionals dedicated to cloud migration.

⇨ By choosing to migrate to cloud, companies can set themselves up for faster, more effective and easier ways to operate their financial structures.

With the continuously growing demand for speed and efficiency in service provision, many companies are seeking to transform their legacy systems. This demand affects many industries, regardless of the purpose of the service. Especially in the case of the life sciences sector where companies are delivering critical life-saving equipment and services, the delays caused by outdated processes cannot be tolerated, including in financial operations. This is why many SAP users are considering transitioning to S/4HANA software. 

PwC explains that today’s life sciences finance executives should constantly gauge the financial implications of such aspects as R&D’s latest product launch timing, the growing complexity of supply chains and legal entity structures, mergers and acquisitions, patent expiry strategies and increasing regulatory demands, such as Pillar Two tax rules.  

To be able to overview and control these aspects, CFOs and controllers in the field should not spend time on data collection that comes with the traditional on-premise software. Rather, the focus should fall on value-added profitability analysis to improve a company’s overall performance, endorsed and amplified by cloud features.  

Some of the most important advantages of SAP S/4HANA that SAP users from the life sciences sector can enjoy after deployment include simplified financial processes and centralized project accounting, accelerated financial close, integrated data model, enhanced forecast precision, full transparency and enhanced cash flow management.  

However, SAP users are aware that migration to S/4HANA is not a walk in the park and a variety of challenges should be addressed before deploying it. To address that, companies are recommended to seek advice from professionals, dedicated to cloud migration. The utilization of professionals can be especially helpful if it specializes in a specific sector, like PwC’s Industry Edge solution for life sciences. 

This instance allows PwC to demonstrate the features, functionality and advantages of SAP S/4HANA to clients more easily for a wide range of functions, including engineering a data, process and insights thread across companies’ clinical, operations, finance and commercial functions.  

All in all, traditional legacy structures of finance functions are evidently becoming outdated. By choosing to migrate to cloud with the help of specialized services like PwC’s Industry Edge solution, companies can set themselves up for faster, more effective and easier ways to operate their financial structures.