Conversion project enables customers to transition faster to SAP S/4HANA

SAP S/4HANA conversion, or “Brownfield” migration, involves transitioning from an existing SAP ERP system to SAP S/4HANA by upgrading the current system rather than building a new one. This approach preserves the organization’s SAP investments, making it ideal for companies with highly customized ERP systems that have evolved over time. Many organizations whose business has stayed rather similar and have been satisfied with their SAP use historically, often choose Brownfield option. If the business models and operational models have changed drastically over time and the current SAP ERP system in use is not adequately supporting the business anymore, often organizations choose Greenfield (new implementation) approach instead of Brownfield.

However, although Brownfield may be perceived as a simpler or more straightforward approach compared to Greenfield, Brownfield projects may become complex, largely due to legacy system landscapes and historical data management. Organizations must analyse existing customizations, interfaces, and data structures to determine which elements are essential and can be retained, and which should be simplified or restructured. Data migration is equally challenging, as decisions must be made about what data to keep, archive, or clean. This process is critical for aligning data with S/4HANA’s requirements and optimizing system performance.

Despite these complexities, Brownfield conversions minimize disruptions to business processes, make new solution adoption easier for the end users and reduce implementation time – and ultimately cost. Success depends on thorough planning and careful attention to technical and SAP mandated mandatory functional requirements, ensuring a smooth and effective transition to SAP S/4HANA.

Managing an SAP S/4HANA Brownfield implementation presents specific project management challenges and opportunities. The project management focus usually is on efficiently managing system transformations, data migrations, and stakeholder alignment to ensure a smooth transition. Managing an SAP S/4HANA Brownfield implementation requires a mixture of technical assessment, stakeholder alignment, and careful planning. By focusing on core goals, managing data migration effectively, and maintaining strong communication and support, Project Managers can lead organizations through a smooth and efficient transition that enhances existing SAP investments while setting the stage for future growth and innovation.

Lessons learned

Technical assessments – Early identification of potential blockers for example custom code or data issues to provide clear roadmap and plan for the needed technical steps alongside with focus points for master data.
Change management and communication – As conversion in the first place is more technical procedure rather than remake of the whole system, communicate this early on to manage the expectations.
Engage business users – From the beginning of the test phase, involve business users to test the system for the to build confidence for new environment and ensuring that business process is fully functioning.
Data migration strategy – Create comprehensive plan for master data containing decisions what data to retain, archive or cleaned. Data cleaning and archiving should take place prior to the S/4HANA conversion project starts.
Go-live rehearsal – 2-4 weeks before the actual conversion, perform the technical steps for production conversion. The process allows to pinpoint possible issues that you could face in the actual conversion and tackle those in advance.

Strategic pathway for Brownfield implementations: Leveraging SAP investments for a seamless transition to SAP S/4HANA

Brownfield implementations offer a strategic path for organizations looking to utilize their existing SAP investments while transitioning to the future-proof platform and enabling the use of new innovative capabilities of SAP S/4HANA. These projects can bring value through enhanced performance, data accessibility, and continuity with current processes, but achieving these outcomes requires a well-structured approach. Proper planning, risk management, and thorough testing are the pillars of a successful conversion project, and teams must focus on understanding existing customizations and data complexities to ensure a smooth transition.

A successful brownfield project emphasizes alignment across business and technical stakeholders, with careful attention to change management and communication throughout. Establishing clear objectives and maintaining flexibility to adapt as issues arise are essential to preventing scope misalignment.

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The blog author Juha Luukkola is a positive, relentless and motivated Project Manager with a history of working in the consumer goods industry. He is skilled in SAP systems and has a strong understanding of basic business models and a broad experience in logistics, purchasing and production.