Modernization over Transformation: A Call to Action for SAP Customers

Modernization over Transformation: A Call to Action for SAP Customers

Let’s be honest. We’ve all been guilty of talking about transformation like it’s the only path forward. Big T. Capital letters. Bold ambitions. And yes, I’ve stood in front of more than one client talking about “reimagining the enterprise” while secretly hoping no one asked for the budget forecast.

But here’s the reality in 2025, a huge number of SAP customers don’t need transformation. They need to modernize, now.

The Clock is Ticking

Mainstream maintenance for SAP ECC ends in 2027. Extended maintenance runs through 2030, but let’s not pretend that gives us breathing room. The costs go up, the talent pool shrinks, and the pace of innovation grinds to a halt. Meanwhile, SAP’s real momentum is in the cloud; and not just any cloud, but SAP S/4HANA Cloud, SAP BTP, and RISE with SAP.

If you’re still on ECC or even S/4HANA on-premise, you’re already missing out on the best of what SAP is offering. New features? Only in cloud. Embedded AI? Cloud. Simplified extensibility? Cloud again. (If you are reading this, and you know me, I know you read that in an Irish accent....)

Doing nothing is no longer a neutral decision. It's a slow drift toward obsolescence.

Let’s Talk About “Conversion”

Somewhere along the way, words like “conversion” and “migration” became dirty. Like we were somehow cheating if we weren’t transforming every corner of the business from day one. Let’s drop that nonsense.

Conversion is smart. Migration is strategic.

These are the tools that let us move forward; quickly, securely, and without having to rip out everything that already works.

A conversion typically means moving your existing ECC system to SAP S/4HANA; keeping core processes, data, and configurations largely intact while transitioning to the new digital core. It gives you the benefits of real-time analytics, embedded intelligence, and a modern user experience, with a significantly reduced footprint of custom code and technical debt.

A migration, especially to cloud, means moving your SAP system, whether ECC or S/4HANA, to a managed, cloud-hosted platform like RISE with SAP. This opens the door to consumption-based pricing, scalable infrastructure, and a cleaner runway to adopt SAP’s ongoing innovations without having to rebuild from scratch.

They replatform your systems, unlock innovation, and reduce cost and risk. They let you modernize at pace, not drown in a 3-year roadmap filled with uncertainty and budget escalations.

And let’s face it, most organizations right now don’t want a 3-year epic. They want momentum. They want something that works.

Rapid Modernization is the Way Forward

We need to shift the conversation from “transform or die” to something more grounded. Something real.

Modernize now. Simplify what matters. Iterate as you go.

This approach is lower risk, faster to value, and way more realistic for the majority of SAP customers out there. The ones who still need to run payroll, close the books, and report to stakeholders while also getting on a path to something better.

Why This Matters, and Why Now

I’ve seen the hesitation. “We’ll wait and see.” “Maybe in the next budget cycle.” “Let’s finish this other project first.” But here’s the thing, the market is moving. Cloud innovation is compounding. Regulatory pressure is increasing. And the window to make clean, confident moves is closing.

We need to help clients act. Not out of panic, but out of pragmatism.

What We’re Doing About It

At Deloitte, we’re doubling down on this. We’ve built offerings designed for rapid modernization, from ECC to S/4HANA, from on-premise to cloud, from complex to manageable. We’re cutting through the noise, focusing on fit-to-standard, and driving lean, accelerated programs that unlock the power of SAP’s cloud platform without the chaos.

And yes, we still love transformation. We just don’t think everyone needs to start there.

If you’re a CIO, a CFO, or even someone who just got tagged with “owning the SAP program” in a reorg, this is your moment. Not to transform everything. But to modernize what matters, now. Before time and cost start working against you.

Let’s stop waiting for perfect. Let’s start making progress.

I always love to chat, share thoughts and opinions... please feel free to reach out!

Isn't the point though that Transformation doesn't have to be a single event... it can just as well be carried out through a roadmap of smaller initiatives, where conversion or migration are merely the first steps on that roadmap and set the foundation for the subsequent changes that are going to bring the value... so it may be that a lot of those customers DO need transformation... it's just that it's too big / scary / expensive to deal with as a single initiative

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