T-Systems Named SAP Leader—But What Sets It Apart?

In a crowded SAP services market marked by rapid change and rising complexity, one provider has recently earned recognition for outstanding leadership. In its 2025 SAP Ecosystem Provider Lens report, Information Services Group (ISG) named T-Systems a Leader in multiple domains: SAP S/4HANA System Transformation-Large Accounts, Application Managed Services, and Managed Cloud Services-SAP ERP.

Automation, Compliance, and Cloud-First Strategy

What may have set T-Systems apart in the report is not just its wide range of services in the SAP landscape but also its extensive experience in execution. According to the company, T-Systems manages hundreds of SAP transformation projects each year, supporting investments in automation, standardization, and remote delivery. ISG reports that T-Systems provides some of the highest levels of automation in the market, reducing the need for onsite staff and minimizing disruptions.

The company’s approach aligns with the needs of German and EU enterprises that must meet strict data protection regulations. T-Systems delivers services in sovereign cloud environments that comply with GDPR and other regional requirements. Its CrystalBridge Assessment offering supports pre-migration planning with technical scans, cloud sizing, and tailored roadmaps.

Integration and SAP BTP Maturity

According to the ISG, T-Systems also excels in its SAP integration strategy, a crucial element in modern enterprise setups. According to SAPinsider research, 78% of businesses support cloud-to-on-premises integration, and 82% require connecting SAP with non-SAP systems. T-Systems tackles this complexity with SAP Integration Suite, prebuilt APIs, and custom connectors.

Integration priorities are particularly high among large enterprises using SAP BTP. T-Systems supports both basic and advanced use cases, such as predictive maintenance and AI-powered planning, utilizing SAP HANA Cloud and SAP Analytics Cloud. This comprehensive approach ensures continuity and innovation during SAP S/4HANA migrations.

Local presence is also a strength for German-based companies. While many providers focus on offshore delivery, T-Systems invests in German-based, SAP-certified professionals and delivery centers. This hybrid model aims to ensure cultural alignment, regulatory compliance, and direct client engagement.

What This Means for SAPinsiders

SAP managed services are increasingly centered on cloud-native, automation-driven providers. T-Systems’ emergence as a leader in SAP cloud and application services occurs as most organizations face pressure to modernize their core ERP systems while managing costs, compliance, and staffing challenges. The global market for SAP services is steadily growing, driven by SAP’s push for SAP S/4HANA adoption and the 2027 sunset of ECC, with many analysts predicting that enterprise cloud spending will continue to rise. In this competitive landscape, providers that incorporate automation, regulatory expertise, and comprehensive SAP tooling are highly sought after.

Assess SAP partners based on their ability to facilitate secure, compliant cloud transitions swiftly. As shown in ISG’s quadrant data, T-Systems performs well in situations requiring a strong local presence combined with cloud flexibility—particularly for clients in Germany and the EU. Vendors that provide structured evaluations, such as CrystalBridge, assist enterprises in transitioning from feasibility to execution with reduced risk. Key factors for SAP leaders to consider include support for clean core strategies, BTP integration maturity, cloud sovereignty options, and experience with complex migration models such as Bluefield or selective data transitions.

Phased transformation models and hybrid integration are crucial for the success of SAP projects. A common mistake is underestimating the effort needed to consolidate SAP and non-SAP landscapes across hybrid infrastructures. Leading companies address this risk by starting with non-critical systems, using preconfigured industry templates, and deploying assessment tools to identify dependencies. With a phased migration approach and ongoing executive sponsorship, companies are well-positioned to meet ECC end-of-support deadlines without disruptions.