SAP S/4HANA was developed by SAP SE, a German corporation known for developing among the most popular ERP systems in the world. Clients typically use SAP S/4HANA to unify and oversee complex business processes as they increasingly manage vast troves of data.

SAP platforms are developed to access a “single source of truth” across divisions and data sources. The platforms unify departments such as sales, finance, manufacturing and human resources under a single database and operating system. Using technologies like machine learning and artificial intelligence (AI), SAP S/4HANA can analyze large amounts of data and automate routine business tasks.  

SAP S/4HANA’s modular and highly customizable software packages offer specific line-of-business solutions tailored to discrete industries such as financial services, the public sector and energy firms. The software is often utilized to assist a business in completing a digital transformation and can be deployed either on-premises, in the cloud, or using a hybrid solution.   

Given the advanced capacity of the HANA platform, many of the suite’s functions facilitate predictive insights or automated processes. This capability allows organizations to discover new insights and create highly accurate roadmaps to success.

In addition to the core lines of business covered, SAP offers custom solutions like SAP APIs⁵ to manage apps for employees and the SAP Business Technology Platform⁶, a cloud-based platform for application development, automation and integration. Core use cases for SAP S/4HANA and the SAP Business Suite include:

SAP’s asset management line-of-business ensures every piece of equipment or business asset is running at peak performance. The platform tracks and manages machinery, equipment and infrastructure to optimize performance and reduce downtime. Key features include predictive maintenance to prevent equipment failure and work-order management. The modules integrate with other SAP S/4HANA functions such as finance and procurement, providing a unified view of the financial impact of a business’ assets and bringing down maintenance costs.

Organizations use SAP S/4HANA’s financial management platforms to streamline their processes and perform advanced analytics, gaining a holistic view of their organization’s fiscal health. The platform offers a variety of functions including cash management, centralized payments management and tools for compliance and reporting. Running on the SAP HANA database, these financial modules help allow for better decision-making. These modules provide real-time insights into company finances and complete extensive forecasting.

SAP’s human resources platforms unify nearly every aspect of human capital management (HCR), from recruiting to daily HR tasks. The software organizes core functions such as time and attendance and payroll while supporting self-service protocols to reduce administrative workloads. Using software integrations such as SAP SuccessFactors, SAP S/4HANA enables customized workforce planning and can provide data-driven insights into how to best attract and retain talent. And using process automation, it can streamline recruitment or onboarding. 

SAP’s HANA database, and its increased computing power, has allowed SAP S/4HANA’s manufacturing modules to integrate with IoT technologies. This means heavy manufacturing industries can track equipment and materials in real-time to prevent production issues. Using SAP S/4HANA’s material requirements planning (MRP) tools, organizations can ensure that materials are always available when needed. The modules also support shop floor integrations⁷ and production planning, keeping the manufacturing process running smoothly and on time.  

The SAP S/4HANA R&D and engineering line-of-business focuses on product lifecycles. In addition to helping organizations stay compliant with health and safety regulations, the modules can effectively manage product changes and generate bills of materials. Document management systems and cross-company collaborative tools ensure that a project will stay organized, reducing time-to-market.  

SAP S/4HANA’s solutions span the entire ecosystem of sales, from direct sales management to customer analytics. Organizations use SAP’s sales functions to manage orders, track shipping and invoice for goods or services. Its SAP customer relationship management (SAP CRM) features can assist in lead generation and tracking consumer satisfaction. Advanced reporting tools provide insights into performance and track emerging trends.  

SAP S/4HANA offers several solutions for sourcing and procurement, including SAP Ariba for contracts and SAP Fieldglass for vendor management. These modules manage processes like obtaining raw materials, supplier and contract management and operational purchasing. This platform allows all procurement activities to be managed in one place.

Using the platform, organizations can control spending by instantly comparing bids and awards. And using S/4HANA’s visibility into performance and procurement, organizations can source materials more strategically, making more informed decisions about vendors and suppliers.  

Using SAP S/4HANA’s supply chain management tools, organizations can tightly integrate their processes with IoT technology, allowing them to continuously monitor assets and equipment. These solutions include tools to supervise pre-planning production, warehousing, inventory and transportation management.

By continuously monitoring inventory levels and the flow of products from suppliers to customers, organizations using SAP S/4HANA supply chain can optimize inventory more effectively. And leveraging the software’s advanced analytic functions, they can predict future demand to reduce excess inventory.