S/4HANA on Premise
This model can be described as a classic license model with operation in the company's own data center or at a service provider. Brownfield and greenfield approaches are possible in the transformation process. The customer selects the data center service provider and the service provider for technical management itself. This variant offers a high process variance and flexibility in expandability. An update to a higher S/4HANA version is not mandatory, but is recommended after at least 5 years in order not to run out of SAP maintenance (corresponds to the 5-year maintenance period for an SAP release).
S/4HANA on Cloud
In this model, too, the customer owns its own SAP S/4HANA licenses and selects one of the hyperscalers (Azure, AWS, GCP) for the infrastructure. All other points do not differ from the previous model, so that a brownfield or greenfield approach is also possible here. Likewise, the service provider for technical management can be freely selected here. Similarly, a high process variance and high flexibility in expandability are also given here. In addition, integration into existing cloud solutions (e.g. Office 365) is easier, depending on which hyperscaler is used.
Rise with SAP (Private Cloud Edition)
Compared to the "On Premise" and "On Cloud" variants, Rise with SAP is a classic subscription model and includes the components listed above. The customer can choose a term of up to 60 months, during which an upgrade to a newer S/4HANA version is mandatory (once in 5 years). Both a brownfield and a greenfield approach are suitable as a conversion strategy.
In addition to the additional RISE services such as
- SAP BTP
- Business Process Intelligence
- Business Network
S/4HANA can be operated like an on-premise or any-premise system, which is particularly advantageous for customers with major customizations in their existing ECC system, as the enhancements are S/4HANA-compliant but can continue to be operated. So here, too, a high process variance and high flexibility in extensibility are possible.
Rise with SAP (Public Cloud Edition)
The Public Cloud Edition is the Rise with SAP offering for near-standard customers. Customizing options, as known from the classic SAP ERP world, are not possible here. In most cases, this model is suitable for the smaller customer segment with low process complexity or for on premise customers with a public cloud solution in a branch office (e.g. abroad). However, it can also be used for start-ups.
SAP best practice processes are used in this model, which implies that only a greenfield approach can be selected as the migration path. All other services already mentioned above are also included in this model. The four release upgrades per year are mandatory, with test automation tools included. These ensure that a release change can be well prepared and will therefore quickly feel like "daily business" for a company. Each release contains new innovations or the mapping of additional countries or lines of business, which means that the range of functions is constantly expanding.
In the public cloud variant, one can certainly speak of the lowest TCO (Total Cost of Ownership) of all alternatives due to the low extensions alone.