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Cloud Readiness is Not a "Cloud" Term

Christian Klein's keynote speech at the 2023 DSAG Annual Congress in Bremen, Germany, had it all. The SAP CEO announced that key innovations will only be available in the SAP cloud in future.
Christian Knell, Snap Consulting
December 6, 2023
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This text has been automatically translated from German to English.

With this very specific interpretation of cloud only, SAP CEO Christian Klein caused lasting uncertainty among his existing customers. Even if this did not mean that SAP would not continue to develop on-prem solutions functionally: They will not be able to benefit from major innovations such as artificial intelligence and Green Ledger, or even from enhancements and larger services on the Business Technology Platform (BTP). Although there is no alternative to the cloud for the majority of users - 82% of companies in Germany and Austria already use the cloud for productive applications - only a few are pursuing a "cloud first" or "cloud only" approach. The majority of IT decision-makers surveyed as part of an IDC study rely on hybrid solutions. 

Start the transformation now

This "smooth" transition via hybrid interim solutions is entirely intentional on SAP's part. After all, the Rise with SAP package includes basic SAP BTP licensing for this purpose. Nevertheless, all on-premises users are faced with the question of which path to the cloud is best for their own company. In addition to the transformation of processes, data silos and Z developments, it is also a question of spending the necessary money in a future-proof way. So my advice is to start building up know-how now. SAP architectures are becoming hybrid very quickly, so start today with proofs of concept, training courses or smaller projects to make yourself and your team cloud-ready. This is not a "cloudy" marketing term, it's about knowledge. And acquiring it takes time because the learning curve is steep, as I can tell you from my own experience. But it is necessary, because - as Christian Klein has made clear - the future (of SAP) lies in the cloud.

Think Cloud!

Therefore, think now (not later) about how you want to transform your processes into the cloud and take into account that hybrid interim solutions may be necessary along the way. Leave the core system alone (keep the digital core clean), extensions have no place there and you will probably no longer have access to it in the future. Use the features of the cloud architecture such as scalability, security, multi-tenant apps, Fiori and modern software development methods that cannot be implemented on-premises to the same extent anyway.

Never without BTP

New, really complex architectures also contribute to the sharp increase in the aforementioned learning curve. Get ready for Software-as-a-Service (SaaS) and familiarize yourself with Infrastructure-as-a-Service (IaaS: AWS, Google and Co.) and Platform-as-a-Service (PaaS). The latter - you guessed it - refers to the Business Technology Platform (SAP BTP), on which you can combine a variety of services such as SaaS or applications. With this in mind, it is also advisable to implement extensions using Steampunk (RAP) and CAP on the BTP. You will also learn about the different total costs of implementation. The one or other calculation example for the TCO will positively surprise you!

The fact that we have created and revised a large number of development and architecture manuals in recent months shows just how much this topic is already on our minds. In order to provide our customers with the best possible support for the upcoming transformation, we are holding experience workshops to impart know-how on BTP, RAP, CAP, Fiori and digital signatures.

We also train IT experts and developers in coaching, pair programming or prototyping and impart methodological expertise in Scrum, Kanban, UML, test automation and continuous delivery. Because cloud readiness is not a "cloudy" term, but has a lot to do with know-how. And, in case I haven't already mentioned it, the learning curve is steep. So once again: start getting to grips with it today!

https://e3mag.com/partners/snap_consulting/
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Christian Knell, Snap Consulting

Ing. Christian Knell is managing partner of Snap


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Working on the SAP basis is crucial for successful S/4 conversion. 

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The event is organized by the E3 magazine of the publishing house B4Bmedia.net AG. The presentations will be accompanied by an exhibition of selected SAP partners. The ticket price includes attendance at all presentations of the Steampunk and BTP Summit 2025, a visit to the exhibition area, participation in the evening event and catering during the official program. The lecture program and the list of exhibitors and sponsors (SAP partners) will be published on this website in due course.