SAP as a service: the way to run SAP without the usual headaches

SAP has always been a powerful tool. But running it has never been the easiest thing to do.

Infrastructure, upgrades, maintenance, integration - managing an SAP environment can be a real challenge, requiring a lot of resources and cash over time. That's why more and more companies are turning to SAP as a Service.

It completely changes the way SAP is delivered, managed and supported. Instead of owning it, you get access to it. And instead of complexity, you get flexibility. If you're looking for a way to run SAP more efficiently, the goal is simple:

Reduce the hassle. Increase flexibility. Keep SAP in line with the business.

Let's break it down.

What SAP as a service really boils down to

SAP as a Service means delivering SAP systems through a managed service model rather than the traditional on-premise ownership.

Instead of:

• Hosting SAP on your own servers

• Managing the infrastructure yourself

• Doing those upgrades manually

You get:

• A cloud-based service

• Managed by a third-party provider

• Access to it on demand

This includes:

• SAP S/4HANA Cloud

• Managed private cloud environments

• Application Management Services (AMS)

With SAP as a Service, SAP is a service - not something you have to spend all your time and money maintaining.

How SAP as a service works

SAP as a Service combines a number of different elements.

Cloud infrastructure

SAP as a Service typically delivers enterprise resource planning through a cloud-based solution, rather than on-premise systems. Providers use global data centres and cloud services to make it more cost-effective and to meet the security standards you need.

Managed services

The provider takes care of:

• System maintenance

• Upgrades and updates

• Performance monitoring

• Moving your data over to the new system so you don't lose anything and so it's all seamless with the other systems you use

Application support

The delivered SAP systems, from SAP themselves, support all the core business functions in one system, and ongoing support keeps the solution up to date and aligned with your business needs. That's also important when you're dealing with large volumes of data from all the different operations - you need to be able to connect it all up and get real time insights for day-to-day decision-making.

Access model

Users access SAP via:

• Web interfaces

• Role-based applications (e.g. Fiori)

• SAP S/4HANA, the next-gen ERP suite they launched in 2015, including mobile access on your phone

Platforms built on SAP HANA support real time processing through in-memory computing, which helps deliver real time insights in a service model.

This creates a much simpler operating model.

Why organisations adopt SAP as a service

Traditional SAP environments can be a bit of a pain:

• High infrastructure costs

• Complex upgrades

• Limited flexibility

• Heavy IT overhead

SAP as a Service sorts all these out with a managed solution that gives you:

A lighter technical load

Infrastructure and maintenance are done for you through cloud services hosted in local data centres that meet your security needs, saving you cash and giving you more bang for your buck.

Scalability

The system can grow with your business across different industries.

Faster innovation

New features and updates come out regularly.

More focus on the business

Your internal teams can focus on business priorities instead of messing around with system management, helping them support customers and meet customer expectations.

Application support also benefits from seamless integration with other systems you use and careful data migration that helps preserve your existing data quality. After go-live, SAP HANA enables real time processing and helps provide real time insights from the data coming out of all the connected applications. These are key levers for long-term efficiency.

SAP becomes a lot easier to run and a lot easier to evolve.

SAP as a service vs traditional SAP and SAP S/4HANA

The difference is not just technical; it also makes it more cost-effective.

Traditional SAP

• On-premise infrastructure

• Big upgrade projects

• Internal IT has to deal with it all

SAP as a Service

• Cloud-based environments in one system

• Continuous updates for real time visibility

• Managed by external providers

• Scales across enterprise resource planning needs without adding internal complexity

• Modernises legacy ERP systems with a simpler delivery model

The shift is from:

• Ownership

To:

• Consumption

This fundamentally changes how SAP is managed, with flexibility and simplicity as key levers for added value.

Key components of SAP as a service

Traditional ERP systems vs cloud-based enterprise resource planning

Traditional ERP systems often require:

• On-premise infrastructure

• Manual upgrades

• Siloed business functions

Cloud-based enterprise resource planning offers:

• A subscription-based solution

• Faster deployment of SAP products

• Better real time visibility through a more unified system in SAP S/4HANA

• Support for customer relationship management and related solutions

SAP cloud platforms

Including:

• S/4HANA Cloud

• SAP Business Technology Platform (BTP)

• SAP service cloud

These are the key benefits of SAP as a Service

• Core ERP functions

• Integration and extension capabilities

Infrastructure as a Service (IaaS)

This is where the cloud providers take control of:

• Servers

• Storage

• Networking

That means you don't have to worry about:

• Managing hardware

Application Management Services (AMS)

AMS covers:

• Ongoing support

• System optimisation

• Fixing any issues that come up

This all means that:

• Your systems stay aligned

• Performance stays consistent

Integration and extensions

With cloud-based tools, you can:

• Seamlessly integrate with third party systems

• Develop new applications

This means you get flexibility without the complexity becoming too much to handle.

Benefits of SAP as a service

When done right, SAP as a Service gives you some clear advantages.

Flexibility

Your systems can adapt to changing business needs, while still keeping your core business functions and related solutions ticking over.

Scalability

Your capacity can go up or down as needed, without any hassle.

Less to worry about

You've got less internal effort to manage systems, and integration into other systems and third-party systems is all taken care of.

Faster updates

You get new features without having to launch any massive projects and all the fuss that comes with them, including SAP Service Cloud as a CRM solution as part of the wider SAP platform.

Easier accessibility

Users and customers can access SAP from anywhere, using friendly tools, helping teams act on real time insights, apply advanced analytics, improve customer experience, boost customer satisfaction and strengthen customer loyalty.

SAP just gets easier to manage.

Common challenges with SAP as a service and data migration

Despite all the benefits, there are some challenges to be aware of.

Integration complexity

Connecting cloud and legacy systems can be tricky, especially when you're working with third-party systems and you need it to be seamless.

Data governance

You need to make sure any existing data stays secure and consistent while you're migrating.

Change management

Your users have to get used to new ways of working, which can include a more user-friendly way of accessing SAP from anywhere.

Standardisation

Cloud systems might limit your customisation options, but you still need to meet the required security standards.

These challenges all require a bit of planning and a structured approach, including advanced analytics for real-time insights to help you make faster decisions and have more responsive operations which improve customer experience and customer satisfaction.

SAP as a service and the clean core approach

Modern SAP strategies are all about a clean core.

This means:

• Keeping your core SAP systems standard

• Reducing customisation

• Using external extensions where you need to, including related solutions

SAP as a Service helps with this by:

• Giving you a standardised solution

• Letting you integrate with third party systems smoothly during the transition on cloud platforms

This all means you get:

• Easier upgrades

• Lower long-term costs

• Less system complexity

• Stronger data governance, with migration protecting existing data quality while meeting security standards

SAP as a service in supply chain, operations and customer satisfaction

SAP as a Service is particularly valuable in operational settings.

It helps with:

• Real time visibility across inventory and operations

• Integrated supply chain processes, with SAP HANA giving you real time processing and insights from data generated in the flow of work

• Faster planning and execution

• External extensions and related solutions while keeping the core clean and linking existing data where needed.

This lets you:

• Respond to change quickly

• Improve efficiency

• Stay in control across operations

Cloud-based SAP becomes a real platform for agility.

Why SAP as a service environments still need management

Even with managed services, your systems still need a bit of care.

Over time:

• Business needs change

• Data grows

• Integrations increase

If you don't keep an eye on things:

• Complexity starts to creep back in

• Performance starts to decline

• The value starts to reduce.

SAP as a Service does make management a bit simpler, but it doesn't get rid of the need for it entirely.

The role of AMS in SAP as a service

Application Management Services (AMS) are super important in this model.

They provide:

• Continuous support

• Performance optimisation

• Keeping systems aligned with business needs

AMS ensures:

• Systems stay reliable

• Updates are handled smoothly

• As processes get more complex, active management helps with service requests, strengthens case management, supports service teams with relevant information and keeps service efficiency on track with customer expectations

SAP as a Service really does work best when it's supported properly.

How SAP consultancy supports SAP as a service

SAP consultancy helps organisations:

• Define the right service model so AMS can help service teams manage service requests more consistently

• Design cloud architecture around the right SAP product for their business

• Align systems with business processes, including data migration and seamless integration

• Come up with a practical solution for specific industries

• Avoid unnecessary complexity

This ensures:

• The transition is structured

• Risk is reduced

• Faster access to relevant information supports stronger case management* You can quickly tell how valuable SAP as a Service can be

SAP as a Service is a decision that combines both technical and strategic considerations.

What is good SAP as a service actually like?

When it's working well, you get to see:

• Consultants will help you pick the right SAP product and service plan to suit your business and industry - and create a unified system that works for you

• Infrastructure stops being a burden, and consultants will help shape the right service approach for your business with some genuine added value

• Your data is consistent and easily accessible

• Processes stay aligned because solution design takes into account seamless integration and data migration

• Your business is free to adapt quickly whenever it needs to

SAP feels lighter and less hassle to deal with.

A quick glossary of SAP as a service terms

SAP as a Service – this is all about delivering SAP systems from the cloud in a managed and seamless way, connecting all your different applications together.

S/4HANA Cloud – This is SAP's cloud-based system for enterprise resource planning built on SAP HANA.

Cloud infrastructure – this is what happens when you host your systems on outside services, instead of running them all on your own servers.

Clean core – This is all about keeping your SAP systems simple and not all mucked about with customisation, which helps when you're moving data around

AMS (Application Management Services) – these are the ongoing support services to make the most of your SAP systems – and that includes things like SAP Service Cloud to add even more value.

SAP as a service -some things you might want to ask

What is SAP as a Service, anyway? – basically, it's SAP delivering enterprise resource planning systems through cloud services.

How is it different from the traditional SAP set-up? – for a start, it lets you offload some of the internal management, which can be a real cost-saver.

Is SAP as a Service only available in the cloud? – yep, it needs cloud infrastructure and managed services to work.

Does SAP as a Service cut down costs? – over time, yes – you can reduce your infrastructure and operational costs.

Do I still need ongoing support? – yes, you do – continuous management is pretty much essential for making it run smoothly.

What is SAP HANA? – this is SAP's in-memory database that lets you handle real-time data processing with ease.

What is SAP Service Cloud? – this is SAP's customer service platform for managing customer service interactions.

What is data migration? – it's the process of moving data from one system to another – yes, it sounds a bit dull, but it's a bit of a nightmare if you don't get it right.

What is seamless integration? – this is when you can connect up all your systems and processes without any fuss or disruption.

Simplifying SAP with self service options

SAP as a Service isn't just about the tech – it's about making things simpler. Less infrastructure to worry about. More flexibility to do what you want. It's a cost-effective way to manage SAP, with lower costs for infrastructure and operational. Plus, with managed cloud services to support you, it's a no-brainer.

Getting continuous improvement right is key. Do that, and SAP becomes a breeze to run, easy to scale up or down, and easy to keep aligned with your business goals. That's where we come in – we can help you make it work.