Business Trends
Is RISE with SAP just old wine in new bottles again?
In 2015 I asked myself, Is S/4HANA just old wine in new bottles?
Since the announcement of RISE with SAP, I have been asking me the same question again.
There has been the SAP Hana Enterprise Cloud (HEC) and SAP S/4HANA Cloud, public edition already.
Therefore, good old wine. Nevertheless, in my opinion, even better in its new bottle:
Old wine:
- ready-to-run cloud ERP
- fully managed, subscription-based cloud service
- general operation of the system does not need the customer to be involved
- 50% decrease in implementation cost
- 40-60% quicker time-to-value
New bottle:
- Cloud ERP for every business need
- Take your existing business processes and data with you
- Continuous business process improvements with BTP
- Leverage the cloud hyperscaler of your choice
- Industry next practices and extensibility
- Seamless patches and upgrades
- Industry specific solution support
- Analytics and business process transformation
- Business process mining and optimization with Signavio
- Embedded analytics with SAP Analytics Cloud
- Outcome-driven services from SAP and our partners
- From outputs to outcomes in line with ITIL 4
If you asked me, IT systems should be transparent. I believe, their services should be consumable without noticing the underlying infrastructure. While moving from IaaS via PaaS to SaaS, what is needed are outcomes. RISE with SAP, therefore, has the right focus for me.
One concern that I have always heard is, with cloud, operating costs are already low, SaaS approach asks existing customers to give up their perpetual license. Do you think in the long term it will benefit the ERP users ?
Good question, Ashu. That of course depends on their IaaS or PaaS license agreements. Longer term, I could imagine that SaaS customers might benefit from scaling synergies.