In recent SAP user group events, various attendees approached me asking about the role of SAP Master Data Governance in the context of SAP S/4HANA. To put it more precisely, people asked me, for instance, whether they’d go or stay with an SAP MDG on a non-HANA database, run SAP MDG on SAP HANA, or aim at SAP MDG on SAP S/4HANA.

I made the following statements from a product management perspective:

  • The role of SAP Master Data Governance as a master data hub for the enterprise does not change when you add an S/4HANA system to the landscape: The MDG hub replicating master data across the system landscape can be either based on SAP ERP or on SAP S/4HANA. And of course, an SAP ERP-based MDG can replicate data to SAP S/4HANA systems in the landscape. While we generally recommend to have the highest release version in place for an ERP-based MDG hub, this is not a mandatory requirement for replicating data to an S/4HANA system.

  • There is continued support for SAP MDG on SAP ERP and on non-HANA databases, which means that users are not forced to change the database on which MDG is running.
  • However, running SAP MDG on SAP HANA has benefits compared to any other database. These benefits include, for instance, the use/consumption of:
    • Advanced search and duplicate-detection provided by SAP HANA fuzzy search
    • SAP HANA information management services for standardization and matching for high-speed master-data consolidation
    • SAP HANA-based analytics providing real-time “insight to action” through reliable MDG process analysis (SLA compliance in change request processing)
  • According to SAP’s overall strategy of delivering the digital core with SAP S/4HANA, it is a no brainer that SAP MDG is on board. Consistent master data is a prerequisite to fully benefit from S/4HANA’s efficient business processes and powerful analytics. Equivalent to the deployment options in an SAP ERP context, SAP MDG can be co-deployed with an SAP S/4HANA system, or can be a hub just technically running on S/4HANA as its basis.
  • Following SAP’s overall strategy, the primary focus of upcoming MDG innovations is on SAP S/4HANA. As of now, the functional scope of the SAP ERP-based MDG 9.0 release is comparable with SAP MDG on SAP S/4HANA 1610. The only difference is that SAP MDG on SAP S/4HANA additionally provides a product-data quality remediation capability which the SAP ERP-based SAP MDG doesn’t. The functional gap is still small, but we expect it to get wider in the future.

For a quick answer; I’d use the following symbol from sports competitions:

 

In a nutshell, I’d say that in order to be on the competitive edge in the digital age, SAP MDG on SAP S/4HANA is clearly the way to go for new installations, while for existing implementations there is no rush for conversion.

Best,
Markus

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24 Comments

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  1. Monika Patel

    Request you to please confirm if “Embedded MDG in S/41610 has capability to connect to multiple systems as shown in above diagram.

     

    Regards,

    MP

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    1. Markus Ganser Post author

      Hi Monika,

      SAP MDG on SAP S/4HANA can be deployed as a dedicated master data hub or co-deployed on an operative SAP S/4HANA system. Replication techniques and capabilities are the same in both cases.

      Regards,

      Markus

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      1. Ibrahim Mustafa Mohammed

        Hi Markus,

        Considering a case where MDG was freshly installed as HUB on S/41610 platform, and the operative ERP is still non-HANA, how do we bring the ERP customizing from the operative ERP to MDG ?

        What is SAP’s recommended best practice?

        Regards

        M

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  2. Holger Reimer

    Hi Monika,

    we are running already projects with SAP MDG deployed on a SAP S/4HANA system. It works fine and we connect SAP and Non-Systems.

    regards

    Holger

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  3. Binoy Thomas

    Thanks for the blog . If we are migrating from MDG 6.1 ( Co Deployed ) to MDG 9.0 ( HUB approach) , Does MDG 9.0 version  as HUb installation can be on EHP 7 ? Our ECC Operational HANA box is on EHP 7 (EHP7 for SAP ERP 6.0)

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    1. Markus Ganser Post author

      Hi Binoy,

       

      according to the Product Availablitiy Matrix MDG 9.0 requires SAP enhancement package 8 for SAP ERP 6.0.

       

      Kind regards,

      Markus

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  4. abhimanyu singh

    Hi Marcus,

    I have few questions:

    Can MDG on S/4 Hana support with 80 million records master data records efficiently?

    Can MDG on S/4 HANA 2-3 million updates on regular basis using MDG mass processing/file upload?

     

    Thanks and regards

    Abhimanyu Singh

     

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    1. Markus Ganser Post author

      Dear Abhimanyu Singh,

      Being based on SAP ERP or SAP S/4HANA, SAP MDG is generally suited for operation of high data volumes. In high-volume scenarios, various parameters need to be put into consideration:

      • Detailed description of the scenario(s) to be applied (central governance or consolidation)
      • Data model complexity
      • Number of users
      • etc.

      Generally, hardware sizing is always crucial in this context. Please see details in the blog with info on MDG sizing.

       

      Best, Markus

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      1. abhimanyu singh

        Hi Markus,

        Thanks for the reply!

        I have another question . We are running MDG 8.0 as HUB on ECC. Now we need to  upgrade it to MDG9.0 on S/4 HANA.

        Do we need to have separate instance of S/4 hana and MDG switched on  and it will act as HUB? If yes, how can we migrate development done on MDG on ECC?

        OR

        Is there way to upgrade MDG 8.0 as HUB on ECC to MDG 9.0 as HUB on S/4 hana? FYI.. our existing DB is not HANA.

        Please suggest.

        PS: My take from below blog is new greenfield implementation.

        https://blogs.sap.com/2016/06/21/how-to-migrate-to-sap-s4hana/

         

        Thanks and regards

        Abhimanyu Singh

         

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  5. Pinaki Bhattacharyya

    Hi Markus,

    We are trying to implement a governance landscape where MDG 8.0 on HANA (1511/ NW 7.51) as master data hub and we have S/4 Hana(1610, NW 7.51) as central finance system. We are trying to setup the webservice replication from MDG to CFIN.

    We are not able to setup yet and facing technical issues. Are these 2 versions are compatible ? SAP doesn’t have any configuration guide specifically for this kind of webservice replication(till NW 7.4 available).

    Thanks.

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    1. Markus Ganser Post author

      Hi Pinaki,

      I am not aware of any incompatibilities here. Please create a ticket, so that the experts can take a look at the issues.

       

      Best, Markus

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      1. Pinaki Bhattacharyya

        Thanks Markus. I will do.

        One more question – Can we do a initial data load as specified in the configuration guide from central finance to MDG ? I am asking this question as the HANA version is different in different system. 

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        1. Markus Ganser Post author

          Hi Pinaki,

          Can you please provide tthe link to this guide, so that the Central Finance experts can get involved. I’m not the domain expert.

           

          THX, Markus

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    1. Markus Ganser Post author

       

      I’d say the term “embedded” is misleading in this context, and I haven’t used it in my blog, have I?

      MDG can be co-deployed on an operative ERP or S/4HANA system, or can be run as a hub based on a ERP or S/4HANA system. Terminology-wise we differentiate between “SAP Master Data Governance” ((i.e. ERP-based)) and “SAP Master Data Governance on SAP S/4HANA”.

      Best,
      Markus

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  6. Torsten Huebsch

    Hi Markus,

    I still struggle with the terminology and deployment modes.

    If I setup S/4 1610 do I have MDG available (e.g. AddOn) or is it a seperate instance running outside of the S4?

    What would be a reasons for choosing in an S/4HANA environment the deployment option of a dedicated master data hub?

     

    Many tahnks

    Best regards

     

     

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  7. Rajeev Dey

    Hi Markus,

    Thanks for opening up this discussion, it really is insightful.

    We have a MDG (7.0) installed over EHP6 ERP6 System (Non-Unicode)

    We are planning to move to S/4 HANA. I have few queries regarding the same:

    1.) So do we have to upgrade our MDG (7.0) Add and it happens automatically when using the Maintenance Planner.

    2.) What is the Path for MDG with respect to S/4 HANA? How to we move from MDG 7.0 to S/4 Compatible version?

    3.) Do we have to reconfigure MDG , once we are on S/4 ?

     

    Regards

    Rajeev

     

     

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