A survey from Rimini Street says that almost 90% of SAP users have no plans for an S/4HANA migration, in part due to satisfaction with their existing SAP ERP.
SAP might have to work harder to get its customers to endure an S/4HANA migration, according to a new report from Rimini Street.
The report finds that 89% of 208 surveyed SAP customers plan to continue to run their current SAP ERP releases because the functionality meets their business needs and they plan to use it as the foundation for a hybrid IT model. This means that an S/4HANA migration might not be in the cards.
Rimini Street is a Las Vegas-based independent vendor of support services for SAP and other enterprise vendors. The report, “Rimini Street Survey: 2017 SAP Application Strategy Findings,” is the result of a survey that Rimini Street conducted with 208 CIOs, CTOs, IT VPs and other executives from companies of various sizes around the world.
The report indicates that 65% of respondents have no plans for or are not committed to an S/4HANA migration, primarily because there is “no strong business case and unclear ROI.” Respondents are also wary of high migration and reimplementation costs. Of the respondents who have committed to S/4HANA, 56% estimated that it would cost between $10 million and $100 million to migrate to S/4HANA.
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