SAP Cost Optimization on Cloud
Key Takeaways
⇨ Significant Cost Reductions: Migrating SAP systems to the Cloud can reduce hosting costs by 50-80%, operational costs by 40-50%, SAP license costs by 10-30%, project costs by 15-25%, and can increase revenue by up to 5% from improved system availability.
⇨ Strategic Cloud Migration: A proactive and well-planned approach to SAP cost management and modernization is essential, involving a detailed technical assessment, developing a business case, and executing migration with a qualified partner to achieve transformative benefits.
⇨ Lemongrass Expertise: Lemongrass specializes in cost-effective, near-zero downtime SAP Cloud migrations, enabling substantial ongoing cost optimization, improved operational efficiency, and leveraging automation to enhance ROI and business innovation.
In a time of widespread economic uncertainty and high levels of inflation, enterprises across all industries are focused on two things: cost reduction and business continuity. As a result, CFOs are under immense pressure to reduce spending and inefficiencies. One significant, though often overlooked, area with the potential for massive cost savings is the mission-critical SAP landscape.
Having established an end to support for legacy software in 2027, SAP has sent a clear message to its customers—the time to upgrade is now. Those willing to take a proactive and strategic approach to SAP cost management and modernization stand to not only optimize costs, but also realize revenue growth and future-proof their organization.
Recent studies show that organizations recognize the necessity for digital transformation. According to a Gartner survey, 78% of CFOs plan to maintain or increase enterprise-wide digital investments in the coming years. This trend reflects the steady rise in Cloud adoption.
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The rate of Cloud adoption has increased exponentially year-on-year for over a decade as businesses race to establish more efficient and cost-effective operations outside of traditional on-premises infrastructures. SAP systems are a key part of this equation.
It’s no secret that enterprise SAP systems are complex. The complexity and criticality of these systems often makes decision-makers hesitant to commit to potentially disruptive and costly Cloud migrations. By accurately assessing the impact of the migration, however, and evaluating the trade-offs between potential benefits, costs, and risks, organizations can chart a course to substantial cost reduction and ongoing optimization.
Learn more with Lemongrass Cloud.
