SAP Cloud Strategy


What is SAP Cloud Strategy?

SAP has both financial and software targets behind their medium and long-term cloud strategy. Their financial target, as initially announced during their Q3 earnings presentation in 2020, involves achieving €22 billion in cloud revenue by 2025. From a software and technology standpoint, SAP is looking for customers to adopt cloud-based solutions for all their SAP applications. This may simply involve using cloud-based infrastructure such as that available through SAP HANA Enterprise Cloud or with the hosting capabilities of RISE with SAP, or could involve using an entirely cloud-based application such as SAP S/4HANA Cloud.

What is SAP Cloud Strategy?

SAP has both financial and software targets behind their medium and long-term cloud strategy. Their financial target, as initially announced during their Q3 earnings presentation in 2020, involves achieving €22 billion in cloud revenue by 2025. From a software and technology standpoint, SAP is looking for customers to adopt cloud-based solutions for all their SAP applications. This may simply involve using cloud-based infrastructure such as that available through SAP HANA Enterprise Cloud or with the hosting capabilities of RISE with SAP, or could involve using an entirely cloud-based application such as SAP S/4HANA Cloud.

SAP Cloud Strategy is focused on allowing customers to choose their provider while SAP offers and manages the cloud services. This is particularly true with their RISE with SAP offering where there is a single contract with SAP for the services and their management, but organizations choose who their hosting and implementation partner will be. SAP has close relationships with all of the major public cloud providers, typically referred to as hyperscalers, but there are many other hosting partners and cloud providers who are SAP partners and offer cloud services.

Further Resources for SAPinsdiers

SAP’s 2022 Strategy Focuses on Cloud ERP and RISE with SAP. Although SAP has had cloud targets in place as their 2025 objectives and has been reinventing itself as a cloud company since the late 2010s, their focus has shifted towards moving customers towards cloud ERP—software-as-a-service solutions like SAP S/4HANA Cloud—and RISE with SAP. This article explores what SAP has announced and their 2022 strategy focus.

Enterprise Cloud Deployment 2021 Benchmark Report. More and more organizations are moving SAP workloads to the cloud, with 88% of respondents running at least one workload in the cloud. Many of these workloads are solutions like SAP Success Factors, SAP Concur, or SAP Ariba which are entirely cloud-based, but there is also an acceleration in moving workloads like ERP systems to cloud infrastructure.

Cloud Success Requires a Clear Vision. The primary focus of organizations moving to the cloud is around reducing costs, increasing flexibility and scalability, and deploying applications more quickly.  However, taking the time to understand what you are trying to achieve with your move to the cloud is an important step that organizations don’t always complete. This article talks about the steps that you can take to ensure that you’re having the right conversations ahead of your move to the cloud.

Moving to the Cloud is About More Than Infrastructure. Although initial cloud deployments focused on infrastructure, there has been a shift in the business case behind why organizations are moving to the cloud. Effectively utilizing data should be a key consideration when moving to the cloud as this is the most valuable asset your company has. This article discusses how business cases are changing, and how you should be looking at your cloud provider as an innovation partner in addition to the other services they provide.

Vendors offering cloud services for SAP include: Atos, AWS, Dell Technologies, Google Cloud, HPE, IBM, Lenovo, Microsoft, Navisite, NTT Data, Nutanix, Rackspace Technology, Virtustream, and VMware.

1339 results

  1. Adapt SAP S/4HANA Business Functionality to Meet Your Company’s Requirements

    Published: 18/January/2016

    Reading time: 21 mins

    Discover how to apply two extensibility options to modify SAP S/4HANA business functionality. Key Concept SAP S/4HANA is the next generation of business applications that can be installed locally in a data center or in a public or managed cloud. One of the central issues users have is how to extend the business functionality delivered...…

  2. Introducing SAP Cloud Platform Credential Store

    Introducing SAP Cloud Platform Credential Store

    Published: 20/November/2019

    Reading time: 8 mins

    Most organizations today are somewhere along the journey toward becoming a digital business, with meeting high expectations for the customer experience a central driver. One of the keys to creating an exceptional experience is the ability to access data in back-end systems in real time, which means that robust integration is critical. This article introduces…

  3. Make-to-Order Manufacturing Planning Strategy with Planned Cost

    Published: 02/March/2020

    Reading time: 14 mins

    Organizations often experience challenges in a make-to-order (MTO) environment when managing “planned customer changes” mapping to standard product structure. This article will teach you how to separate “planned” vs. “un-planned” changes integrating planning, shop floor execution, inventory management and finance/controlling with accurate value on the books. It will explain inventory valuation with a step by…

  4. What to Expect from SAP Business Planning and Consolidation 10.0, Version for NetWeaver in the Cloud

    Published: 02/May/2014

    Reading time: 9 mins

    Learn what you need to do if you have SAP Business Planning and Consolidation (BPC) 10.0, version for NetWeaver on premise and want to convert the deployment to the cloud. You’ll also learn how you can use SAP BPC10.0, version for NetWeaver HANA on the cloud by subscription if you don’t already have it on...…

  5. Introducing SAP Business Application Studio

    Technical Guide: Introducing SAP Business Application Studio

    Published: 11/November/2020

    Reading time: 18 mins

    Over the last few years, SAP Web IDE has been the dominant development environment for developing SAP Fiori applications for SAP Cloud Platform, SAP S/4HANA, and SAP S/4HANA Cloud. While it offers a variety of tools, editors, frameworks, and wizards to boost developer productivity, SAP Web IDE is hosted in the Neo environment and has…

  6. 5 Criteria for Migrating an Application into the Cloud

    Published: 18/January/2012

    Reading time: 9 mins

    Examine criteria for migrating your applications to the cloud. They can help you decide whether to proceed. You can use the criteria as a guideline or as a part of the pre-migration assessment. Key Concept SAP Business ByDesign is an on-demand ERP solution for small and medium-sized enterprises. This Software as a Service (SaaS) contains...…

  7. Becoming a Digital Enterprise Starts with Cloud

    Published: 26/April/2016

    Reading time: 11 mins

    Today’s enterprises have to contend with an uncomfortable truth: Legacy systems simply aren’t responsive enough to handle the explosive data growth or the rapid customization economy. In order to avoid being left behind, enterprises need to make the move to a more robust IT environment powered by a digital core. And for many, the most…

  8. Create Hybrid Planning Applications with SAP BPC 11.0 and SAP Analytics Cloud

    Published: 06/December/2017

    Reading time: 10 mins

    Learn how you can create hybrid planning applications using models created in SAP Business Planning and Consolidation (SAP BPC) and use them automatically in SAP Analytics Cloud. This functionality allows you not only to use SAP Analytics Cloud as a web front end of SAP BPC but also to provide functionality to extend corporate planning...…

  9. SAPinsider Technology Insight Cloud

    Moving to the Cloud is About More Than Infrastructure

    Published: 06/May/2022

    Reading time: 7 mins

    Organizations are moving their SAP workloads to the cloud, either by replacing legacy hardware with flexible and scalable cloud infrastructure or with the adoption of cloud-based applications. But today’s cloud investments must provide more than just new and faster infrastructure, as organizations look to make those investments the basis for broader innovation. SAPinsider research has...…

  10. SAP BTP

    Embracing a Multi-Cloud Strategy with SAP BTP

    Published: 30/September/2021

    Reading time: 12 mins

    The SAP Business Technology Platform (SAP BTP) has been subject to several key transformations over the years. While cynics are quick to point to marketing shenanigans with all the product name changes (“SAP BTP: Now with 63% more awesomeness…”), there has absolutely been a method to SAP’s madness: openness. While many of SAP’s competitors continue…