Anyone who wants to implement SAP S/4HANA will quickly be confronted with SAP Best Practices. What does this mean and what are the advantages of this approach? All the important information on the topic!
SAP Best Practices are preconfigured processes or process chains that support companies in the introduction and use of SAP S/4HANA. They are based on standardized processes that have proven themselves in various industries. Above all, they were created to enable the rapid implementation of S/4HANA Cloud. However, the harmonized process architecture also makes it easier for SAP to bring updates and thus innovations to the market.
SAP Best Practices have a modular structure and cover central business areas (Lines of Business, LoB for short) such as finance, sales, purchasing, production and HR. Within this structure, individual processes in SAP are defined as so-called scope items. Thanks to this structure, companies can specifically select and implement those business processes that meet their requirements. SAP provides detailed instructions and predefined system settings for each scope item, which can be transferred directly to SAP S/4HANA. This eliminates the need for basic configurations and processes can be activated in a short space of time.
The use of SAP Best Practices has a whole range of advantages for companies. As already mentioned, the approach initially enables a particularly fast implementation of SAP S/4HANA. However, the use of standards also has other advantages. These include in particular
By introducing best practices, companies are switching to business processes that have proven themselves in practice in countless companies. These processes are characterized not only by high efficiency, but also by flexibility and scalability. The frequently tested and optimized processes also ensure a reduction in sources of error.
A further advantage of standardization is easier collaboration with external partners, provided they also use SAP’s predefined best-practice solutions. Above all, cross-company process harmonization facilitates the integration of suppliers and customers into existing processes. SAP best practices therefore promote the networking and collaboration of all participants in a value chain.
The best practices ensure a high degree of standardization in the new ERP system generation from SAP. This applies above all to the SAP S/4HANA Cloud, Public Edition, which is based entirely on the preconfigured standards. Thanks to the consistent use of predefined processes, the system remains homogeneous and free of modifications at all times (also known as the clean core principle). This approach is the key to smooth updates: Since all user companies use the same process standards maintained by SAP, new functions and optimizations can be imported without extensive testing or adjustments – a decisive advantage over highly individualized systems, where updates cannot be easily incorporated. As a result, SAP can release new features and technological innovations at a high frequency. These are available to customers directly in the ERP system without any interruptions or additional costs. In the case of SAP S/4HANA, Public Edition, this even takes place on a quarterly basis.
Incidentally, companies do not have to do without the mapping of special requirements despite “Clean Core”. This is because the SAP Business Technology Platform (BTP) provides numerous extensions and integrations that can be used to meet individual business needs. Despite such “add-ons”, the core system (S/4HANA) can be easily maintained, scaled and updated.
The use of best practices is mandatory, particularly in the case of the public cloud version of SAP S/4HANA, as individual adjustments to the core system are not provided for. Companies must therefore adapt their processes to the specified standards or make enhancements via the SAP Business Technology Platform (BTP).
SAP S/4HANA Cloud, Private Edition, on the other hand, offers more flexibility: companies can also define their own processes and make in-depth adjustments to the software. However, this leads to higher maintenance costs, as individual developments have to be checked and adapted again with each new version.
The choice between private and public cloud therefore depends on the company’s individual requirements. Those who require maximum flexibility and are prepared to bear the associated maintenance costs can opt for the private cloud. On the other hand, companies looking for rapid implementation and low operating costs will benefit from the standardized best practices of the public cloud.
SAP distinguishes between three important organizational levels in S/4HANA:
Here is a rough overview of the existing LoB and examples of associated best practices:
This is just a fraction of the available, preconfigured processes in S/4HANA. Their scope is also being continuously expanded. A complete overview of all best practices is available for registered users in the SAP Signavio Process Navigator (see next section).
The SAP Signavio Process Navigator (replacement for the former solution “SAP Best Practice Explorer”) is the central source for SAP Best Practices. The solution contains all currently available best practices for SAP S/4HANA. Companies can view the standardized end-to-end processes there and use them directly for their implementation.
Each scope item is stored in the Process Navigator with process flows, diagrams and documentation. Companies also receive step-by-step instructions on how the respective SAP processes work. There are also links to suitable knowledge sources such as training materials.
The SAP Signavio Process Navigator also makes it possible to compare the standard processes from S/4HANA with the process landscape in your own existing systems. This allows gaps between standard and individualization to be identified. The tool also provides a visual representation of the processes, allowing companies to quickly recognize how different processes are linked and what dependencies exist.
Further details are available here:
Are you planning to implement SAP S/4HANA? Would you like professional and efficient advice and support?
