SAP S/4HANA vs SAP S/4HANA Cloud comparison

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18,838 views|13,086 comparisons
97% willing to recommend
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2,283 views|1,135 comparisons
88% willing to recommend
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Executive Summary

We performed a comparison between SAP S/4HANA and SAP S/4HANA Cloud based on real PeerSpot user reviews.

Find out what your peers are saying about SAP, Microsoft, Oracle and others in ERP.
To learn more, read our detailed ERP Report (Updated: June 2024).
772,649 professionals have used our research since 2012.
Featured Review
Quotes From Members
We asked business professionals to review the solutions they use.
Here are some excerpts of what they said:
Pros
"The most valuable feature is the inbuilt standards included in SAP that customers can adopt easily. Also offers to customize it based on the specific requirements.""I find everything I need in S4/HANA.""The most valuable feature is the detail in all of the processes. The solution captures our policies and enables us to implement our policies in SAP. There are different models that address our needs.""Because I'm a procure-to-pay consultant, I mostly look at that angle, and I have a bit of experience with sales and distribution. I also like the integration between S/4HANA and other ERPs because S/4HANA is a suite. For example, the integration between S/4HANA and EWM Transportation Management, and Ariba.""The in-memory processing capability is most valuable.""I have found the most valuable feature to be the SAP Fiori application.""A user-friendly UI with good documentation.""At present, it seems very stable because it is in the cloud."

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"The most valuable aspect of SAP S/4HANA Cloud is its ease of deployment and the reduced hassles of infrastructure support.""It is a straightforward solution.""The solution is versatile with various integrated tools such as connecting with finance modules, controlling parameters, and creating universal journals.""SAP S4HANA Cloud is stable, and its computational power and speed have improved in later versions.""Makes it easier to reach and read data.""With the newer update, there are more funnels as well as ample opportunity to customize the solution. With the SAP Optimizer, companies are using about five to ten percent of the product as-is while the other ninety to ninety five percent is customized to automate and standardize processes.""Finance aspects of it and transportation management, asset management, and inventory management are valuable.""Since SAP S/4HANA Cloud is a SaaS application, it is already providing a lot of standard out-of-the-box features."

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Cons
"It is simple to implement SAP S4HANA. If you are already in this type of environment, then the transition is not very complex. However, if you do not then it can be difficult.""The migration to SAP S/4HANA is hard.""I'm not a big fan of SAP S/4HANA because it needs a lot of hardware. It is really fast, but it needs a lot of hardware. The hardware for S/4HANA is too expensive.""There should be a place where I can get the best available applications in one place. Currently, Fiori applications are available in different tiles on the dashboards. If anyone wants to check the financial, sales, and inventory reporting in one place, it is not possible in Fiori. We would have to develop a custom Fiori application. If that feature can be incorporated into the standard Fiori, it will be helpful for us.""S/4HANA could be improved with better integration. At the moment, a main issue I see is that there's so much growth in the functionality, complementary modules, and cloud solutions which were acquired by SAP and which extend the functionality of the SAP ERP suite. It looks to me that they tend to acquire more and more functionality from acquisitions, but they don't invest enough effort into making them integrated with S/4HANA or ERP. I would say that the functionality is great, but integration is something which still needs more attention. Instead of focusing on acquisitions, they should invest, integrate, and better the existing portfolio of products in SAP. It would help us, as implementors, to have a more complex or compact solution.""The two things that need to be improved are price and customization.""The solution could have a better user experience. However, they are working a lot on the user experience and they have come up with various applications, such as mobile applications. This was lacking over the last two years.""The Capex and Opex could be improved."

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"The solution's speed and dashboard could be improved.""The proposition by SAP does not match the value realization.""The only thing that could be improved would be the complexity of the initial setup.""Analytics could be improved.""They can improve the interface. It has a client-server kind of interface, which is kind of old.""The solution is expensive. That can be an issue for clients.""The pricing is way over any of the other ERPs, and the bank integrations are not perfect. There are a lot of costs for other implementations and integrations with Salesforce and other systems. Rather than being a fully-fledged system on its own like most of the other ERPs, it relies too much on developed integrations by the implementation partner.""The pricing is high."

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Pricing and Cost Advice
  • "It is an expensive solution."
  • "The price of this product is an issue for some customers."
  • "I have found the price of the solution is on the medium to the expensive side of the scale. There is a license for this solution and there are additional maintenance fees."
  • "The solution is expensive."
  • "We're not sure yet. I think it was six figures a year, over 100,000. It has straight-up licensing fees."
  • "Licensing works on a subscription model for the cloud version and it's a one-time fee for the on-premises version."
  • "The price of the solution is reasonable but some modules can be expensive. When comparing SAP S4HANA to other solutions, such as Oracle, it is not expensive."
  • "The price of the solution is expensive."
  • More SAP S/4HANA Pricing and Cost Advice →

  • "The pricing is competitive with other products at that level in that category."
  • "I feel the solution is expensive when it comes to what can be obtained with open source software."
  • "This is a pricey solution that best serves large enterprises. Be sure to ensure that your company's requirements need to be fulfilled by SAP. There are many other ERP's that are cheaper yet highly functional. However, it is still cheaper than some of the competition (i.e. Oracle, ESD, etc.)"
  • "I don't remember the specifics about the licensing, but it's scaled and modular. You pay for what you use. It's not a one-size-fits-all license. You have a license for every single module. It's similar to Oracle."
  • "The licensing process for SAP S/4HANA Cloud has worked well."
  • "It's very expensive."
  • "Pricing wise, SAP S4HANA Cloud is very expensive. The licensing cost can be 100,000 euros per year, depending on the number of users in your company."
  • "S/4HANA is an enterprise solution that many can't afford. You must invest a lot to get the most out of it. It isn't cheap. I rate the price seven out of 10."
  • More SAP S/4HANA Cloud Pricing and Cost Advice →

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    Answers from the Community
    Rana Bhattacharjee
    Pradipta Bhattacharya - PeerSpot reviewerPradipta Bhattacharya
    User

    The main difference is RISE is associated with S/4 Product Range on Cloud while By Design is modeled after SAP Business One also on Cloud. 


    So both are SaaS but the difference is in enterprise size and also application complexities. Also, RISE offers a bundle of pre-configured modules while By Design is similar to B1 with a lot more flexibility and high scalability. License wise both are per user on the cloud.

    Questions from the Community
    Top Answer:SaP Business One is a complete solution for business management. The software applications are broad, ranging from accounting to project management and human resources. It is very versatile and… more »
    Top Answer:The solution’s pricing could be reduced.
    Top Answer:Many companies are currently going for SAP S/4HANA because the maintenance for their SAP ERP or SAP ECC will be over the next year. Even their extended maintenance will be over by 2028. Some companies… more »
    Ranking
    2nd
    out of 68 in ERP
    Views
    18,838
    Comparisons
    13,086
    Reviews
    17
    Average Words per Review
    413
    Rating
    8.6
    3rd
    out of 18 in Cloud ERP
    Views
    2,283
    Comparisons
    1,135
    Reviews
    28
    Average Words per Review
    431
    Rating
    8.0
    Comparisons
    Also Known As
    SAP S4HANA
    SAP S4HANA Cloud
    Learn More
    Overview

    SAP S4HANA is an ERP (enterprise resource planning) system that uses sophisticated technologies including machine learning and AI. It is most commonly used to integrate and manage business functions and is an ideal solution for large enterprises. The platform includes supplier relationship management (SRM), customer relationship management (CRM), supply chain management (SCM), and product lifecycle management (PLM) functionality.

    SAP S4HANA offers three different deployment options:

    • On-premises
    • Cloud
    • Hybrid

    SAP S4HANA Features

    SAP S4HANA has many valuable key features, including:

    • Customizable
    • ERP, CRM, SRM, SCM, PLM co-deployed
    • High throughput
    • Fast analytics and reporting
    • Smaller total data footprint
    • SAP HANA multi-tenancy
    • All data: social, text, geo, graph, processing
    • New SAP Fiori UX for any device (mobile, desktop, tablet)
    • Unlimited workload capacity
    • High-volume transaction processing (OLTP)
    • High volume real-time analytical processes (OLAP)
    • Service Management
    • Digital Boardroom Integration

    SAP S4HANA Benefits

    Some of the benefits of using SAP S4HANA include:

    • Speed: S4 HANA applications leverage speed, context, and data accessibility to ensure you can stay up to date with rapidly evolving technology.
    • Improved performance: With SAP S4HANA, you can plan, execute, or generate reports and analytics based on live data to increase performance.
    • Simplicity: SAP S4HANA’s whole infrastructure was designed with simplification in mind — from the management of the solution to the administration of the IT landscape. The solution serves as the digital core for business process simplification and enables the centralizing of hardware and network resources.
    • Cost effective: SAP S4HANA is a cost effective solution. It provides the ability to bring together all the analytical and transactional capabilities of a variety of systems in one location, enabling better decision making.

    Reviews from Real Users

    Below are some reviews and helpful feedback written by SAP S4HANA users.

    A Mechanical Engineer at a construction company says, “It is a very powerful, highly customizable tool. The most valuable feature is that the reporting is fast. We can see the results from that in that our commissions come in fast. That is the main advantage.”

    Another reviewer, a SAP Technology Manager at a financial services firm, mentions, "It is more or less a very, very smooth and seamless product. Day by day they are increasing their technology features and they are keen to resolve the issues. India has a complex business scenario and SAP is thinking about that and resolving the issues day by day. In terms of the features I have found most valuable, I don't think that there is any lack or any gap process-wise. SAP is a very good tool."

    A Project and Service delivery Manager at a tech services company comments, "One of the most valuable features, which we used the most, was the FI module, for finance. It involved controlling, account receivables, account payables, and complete financial steering."

    A Senior Architect at a construction company states, “The POD applications are very useful to us. There are a few POD apps which we are using for different business scenarios. They are quite interesting.” He also adds, “The initial setup is pretty straightforward. The documentation is very good. The solution can scale well. The solution is stable.”

    SAP S/4HANA stands for SAP Suite 4 HANA. It is a next-generation integrated enterprise resource planning (ERP) software that is designed for businesses of all sizes, in all industries, that require deep and broad functionality combined with a high degree of flexibility. SAP S/4HANA was launched in 2015 and been adopted by more than 3,200 customers over a period of sixteen months. SAP S/4HANA is materially different from anything SAP has done before and represents the company’s biggest innovation since SAP R/3.

    SAP S/4HANA is intended to provide a digital core for an organization. It is fully architected for the most advanced in-memory platform, SAP HANA, and is designed on the most modern design principles with the SAP Fiori user experience to create a personalized and simple feel on users’ device of choice (tablet, laptop, mobile). SAP S/4HANA aims to simplify an organizations’ system landscape and reduce total cost of ownership by shrinking the data footprint while at the same time improving productivity levels in the form of higher throughput. Timelines for cloud deployments average around six months.

    SAP S/4HANA is designed to drive business innovation by connecting people, devices, and business networks in real time to support the development of new business models. It will also help accelerate the adoption of, and connection to, the Internet of Things and Big Data. SAP S/4HANA can analyze big data at unprecedented speed allowing users to access real-time information from anywhere, any way they’d like and thus help managers make truly insightful decisions. The simplified data model allows customers to reimagine their IT, helping to drive lower costs and deliver IT efficiency. This, coupled with the SAP S/4HANA prediction and simulation capabilities allow it to anticipate the impact of business outcomes. By doing all the above, SAP S/4HANA aims to provide ultimate sophistication in the simplest possible manner.

    To learn more about SAP S/4HANA, visit http://go.sap.com/product/enterprise-management/s4hana-erp.html

    Sample Customers
    Nestle, O.C. Tanner, Sabre, New York Life Insurance Co., MEMEBOX, Siemens AG.
    La Trobe University, Carrefour Comércio e Indústria Ltda, Delaware Consulting and Corning Inc.
    Top Industries
    REVIEWERS
    Manufacturing Company17%
    Computer Software Company12%
    Financial Services Firm10%
    Retailer10%
    VISITORS READING REVIEWS
    Educational Organization34%
    Computer Software Company10%
    Manufacturing Company9%
    University4%
    REVIEWERS
    Manufacturing Company43%
    Computer Software Company24%
    Energy/Utilities Company10%
    University10%
    VISITORS READING REVIEWS
    Computer Software Company15%
    Manufacturing Company9%
    Government9%
    Educational Organization7%
    Company Size
    REVIEWERS
    Small Business40%
    Midsize Enterprise20%
    Large Enterprise40%
    VISITORS READING REVIEWS
    Small Business16%
    Midsize Enterprise41%
    Large Enterprise43%
    REVIEWERS
    Small Business36%
    Midsize Enterprise11%
    Large Enterprise53%
    VISITORS READING REVIEWS
    Small Business27%
    Midsize Enterprise16%
    Large Enterprise57%
    Buyer's Guide
    ERP
    June 2024
    Find out what your peers are saying about SAP, Microsoft, Oracle and others in ERP. Updated: June 2024.
    772,649 professionals have used our research since 2012.

    SAP S/4HANA is ranked 2nd in ERP with 75 reviews while SAP S/4HANA Cloud is ranked 3rd in Cloud ERP with 41 reviews. SAP S/4HANA is rated 8.2, while SAP S/4HANA Cloud is rated 8.0. The top reviewer of SAP S/4HANA writes "The solution is highly scalable, with solid performance and integration". On the other hand, the top reviewer of SAP S/4HANA Cloud writes "A valuable tool for businesses seeking to enhance their overall performance and competitiveness in the digital era". SAP S/4HANA is most compared with SAP ERP, SAP Business One, Oracle Fusion Cloud ERP, Oracle E-Business Suite and Microsoft Dynamics 365 Business Central, whereas SAP S/4HANA Cloud is most compared with SAP Business ByDesign, SAP Business One, Oracle Fusion Cloud ERP, IFS Cloud Platform and Oracle E-Business Suite.

    We monitor all ERP reviews to prevent fraudulent reviews and keep review quality high. We do not post reviews by company employees or direct competitors. We validate each review for authenticity via cross-reference with LinkedIn, and personal follow-up with the reviewer when necessary.