SAP S/4HANA Transformation
- 30+ years of SAP and compliance experience
- Industry expertise in Life Sciences
- SAP Silver Partner
System Conversion to SAP S/4HANA (Brownfield)
Many companies in the pharmaceutical and medical technology industry are modernizing their existing SAP landscape through a transformation of their SAP ERP system to SAP S/4HANA. As part of a System Conversion (Brownfield), the existing system is migrated to the new SAP S/4HANA Digital Core, while processes, data and extensions are fundamentally preserved.
In regulated industries, however, a purely technical transformation is not sufficient. Business processes, quality management and regulatory requirements must be considered from the very beginning.
DHC therefore combines SAP transformation and validation in an integrated consulting approach and supports life sciences companies in planning, transforming and operating a compliant SAP S/4HANA system landscape.
Challenges in the Transformation to SAP S/4HANA
Modernize Existing SAP Systems
In a System Conversion, existing data, processes and extensions are transferred to the new SAP S/4HANA system and prepared for a modern system architecture.
Leveraging SAP S/4HANA Innovations
Companies want to preserve existing processes while leveraging innovations such as Advanced Analytics, automation and cloud integration.
Ensuring Compliance and Validation
In regulated industries, transformation and software validation must be implemented in an integrated manner to ensure GxP compliance and auditability.
SAP S/4HANA Transformation with System Conversion
In a System Conversion (Brownfield), an existing SAP ERP system is technically migrated to SAP S/4HANA. Unlike a greenfield implementation, existing processes, data structures and extensions are fundamentally preserved.
This approach is particularly suitable for companies
- whose existing SAP systems are close to the SAP standard
- that want to preserve existing solution extensions and integrations
- that want to continue using their historical transaction data
A system conversion is often faster and more cost-efficient than a new implementation. At the same time, however, some of the existing system complexity remains.
Therefore, the transformation should not only be understood as a technical upgrade, but as a business transformation of the entire SAP system landscape.
Specifics for the Life Sciences
Our customers in the pharmaceutical industry and medical technology must additionally consider when choosing the operating model that they must not only implement, maintain and operate the system, but validate it with the introduction and with every update.
For on-premise use, SAP S/4HANA is validated in the “traditional” manner. If you choose a cloud variant (SAP Cloud ERP Private), there are some specifics to consider for validation of cloud computing systems in the life sciences. Although the company transfers responsibility for system operations to the cloud provider, responsibility for quality always remains with the client.
Extended transformation approaches:
Selective Data Transition (Bluefield®)
In addition to greenfield and brownfield, companies are increasingly also using so-called Selective Data Transition approaches (Bluefield®).
Here, a new SAP S/4HANA system is built while selected data, processes or organizational units are specifically transferred from existing systems.
This approach is particularly suitable for:
- Complex system landscapes
- ERP consolidations
- Carve-out or M&A scenarios
- Selective data migration
Bluefield combines elements of system conversion and new implementation and enables flexible transformation of large SAP landscapes.
More about SAP S/4HANA Transformation?
Integrated SAP S/4HANA Transformation and Validation with DHC and Partners
For over 30 years, DHC has been supporting pharmaceutical and medical technology companies in implementing, transforming and validating SAP systems. Our consultants combine deep SAP know-how with industry expertise and regulatory understanding.
For larger transformation projects, we draw on our partner network, the Life Sciences Alliance (LSA), as needed.
Together with our partners, All for One Group and INFORMATICS Life Sciences, we bundle our competencies to provide pharma and MedTech companies with scalable capacities, industry-specific SAP solutions and with VITAL® a harmonized project methodology.
Our clients thus benefit from the specialization of a life sciences consulting firm combined with the strength of a powerful SAP partner network.
VITAL® for Integrated SAP S/4HANA Transformation and Validation
For the transformation from SAP ECC to the intelligent enterprise in life sciences, we developed the joint process model VITAL® together with our partners of the Life Sciences Alliance (LSA).
VITAL stands for a harmonized, integrated SAP S/4HANA transformation and validation approach. It was specifically designed for regulated industries such as the pharmaceutical industry and medical technology.
Key features of VITAL®:
Conversion and Validation Hand in Hand
With VITAL®, conversion and validation go hand in hand to ensure the most efficient and smooth transition to the intelligent enterprise. Computer System Validation is accordingly embedded in the approach and thus supports a risk-minimized project course. The focus regarding validation can be placed on the resulting delta as well as on a re-validation based on the Digital Process Landscape.
Tool-Supported Approach with Minimal Downtime
The conversion to S/4HANA is tool-supported with minimal downtime and using automation that has been successfully deployed multiple times. Different transformation approaches can be used effectively here, both brownfield with the transfer of all data and an approach based purely on selected data in time slices.
Through the use of powerful tools such as CrystalBridge and SAP Signavio, we are able to show you extensive optimization potential even before the technical platform change and thus focus not only on necessary changes.
Leveraging the Benefits of Transformation
We also support you during the transformation processes using our solution components for optimization and generating initial added value for your company. Shaped by an evaluation based on Business Process Intelligence, we show you the potential opportunities at the earliest possible stage, even before the start of the technological platform change.
Methods such as Business Model Canvas, Innovation Boards and other business analysis approaches help us establish tailored business models with corresponding innovative processes and functions and increase your future viability and competitiveness.
Innovations After the Transformation
Following or in parallel with the technological transformation, we work with you to develop the path to the future, to permanently benefit from innovations for your business and to focus on the essential value-adding activities. This includes, for example, automating regression tests to reduce effort in the affected business departments to a minimum.
Establish new business models by simply integrating the required solution approaches from the SAP ecosystem portfolio. Automate your processes through technological approaches such as Conversational AI, Intelligent Robot Process Automation or Workflow Management to create additional freedom. Enable your business departments to realize small adjustments and parameterizations themselves through LowCode/NoCode solutions based on SAP Build, thus reducing dependencies.
VITAL© Solution Add-Ons for Transformation
- Ready-to-use integration of solutions from the Industry Cloud and SAP Store
- Generic and industry-specific extensions as modification-free add-ons
- Customer-specific extensions following the “Keep the Core clean” philosophy based on side-by-side extensibility via SAP Business Technology Platform
- Process automation using technologies such as Conversational AI, Robotic Process Automation and SAP Workflow Management powered by SAP BTP
Why DHC – Your Specialist for SAP S/4HANA Transformation
- Over 30 years of SAP expertise and life sciences industry experience
- Integrated consulting for SAP transformation and validation from a single source
- Field-proven VITAL® methodology and DHC Smart Validation Accelerator for regulated industries
- Deep expertise in GxP, FDA, EU GMP and ISO 13485
- Scalable project capacities through the Life Sciences Alliance
SAP S/4HANA Transformation
Trust through Experience
We are the specialist for all SAP Life Sciences solutions.
“This project, with its fair share of ups and downs, is a testament to our collective strength as a team. It’s important to note that this was not merely a migration project; it was a SAP S/4HANA greenfield implementation. Throughout the project, we adhered to the GAMP guidelines, incorporating financial risk analysis and mitigation strategies into our processes. The DHC validation approach and support during this project ensured that our implementation not only meets but exceeds the industry standards.”
Frequently Asked Questions about SAP S/4HANA Transformation
When is an SAP S/4HANA transformation more sensible than a new implementation?
A system conversion is particularly suitable for companies whose existing SAP systems are still close to the standard and whose processes should fundamentally be preserved. It enables a comparatively fast transition to SAP S/4HANA without rebuilding the entire system landscape.
What advantages does a system conversion to SAP S/4HANA offer?
A transformation enables the transition to the SAP S/4HANA Digital Core, while existing processes, data and extensions are fundamentally preserved. This often reduces project effort and risks, especially when the existing system is already operating stably.
What risks exist with an SAP S/4HANA transformation?
In a system conversion, existing system structures and individual developments are transferred to the new system. This means some of the existing complexity can remain. A careful analysis of the system landscape and a clear transformation strategy are therefore crucial.
What role does validation play in an SAP S/4HANA transformation?
In regulated industries, the SAP system must continue to be operated in a GxP-compliant and audit-ready manner after the transformation. Therefore, software validation should be planned and implemented in an integrated manner during the transformation.
How long does an SAP S/4HANA transformation take?
The duration depends heavily on the size of the system landscape, the number of integrations and the scope of customizations. Many transformation projects are in a timeframe of 9 to 18 months.
Why is a consulting partner specialized in life sciences important for an SAP S/4HANA transformation?
In addition to the technical transformation, business processes, compliance requirements and validation aspects must also be considered. Consulting partners with experience in SAP transformation and regulated industries help reduce project risks and build a sustainable system architecture.
SAP S/4HANA Transformation