If you missed SAPPHIRE NOW earlier this year, let me summarize it for you. Cloud is the future of ERP. In this domain, SAP S/4HANA Cloud 1705 is way ahead of the game. Above and beyond!
The cloud above the clouds
Let’s face it, there’s more than one cloud in the IT sky. The SAP S/4HANA team has now enabled bridges between the cloud with native integration to Concur (Travel Expenses), SuccessFactors (Human Capital Management), Hybris (Commerce), Ariba (Procurement), and Fieldglass (Contingent Workforce Management). In addition, the Public Cloud can now also extend to SAP Analytics Cloud (SAC - Planning & Reporting), SAP Integrated Business Planning (IBP - Planning), SAP Extended Warehouse Management (EWM), Central Finance , SAP Business Planning and Consolidation (BPC) and SAP Leonardo (more below).
More cloud flavors
One of the key announcements was also a simplification of the licensing. No more “Cloud Edition for Professional Services” or “Cloud Edition for Enterprise Management”. When organizations subscribe to the SaaS application, they will get access to the full S/4HANA Cloud, including new innovations.
Some of the key features of this new edition release include:
A digital assistant for the enterprise, CoPilot enables users to get their job done faster .
Embedded in applications like purchasing, algorithms analyze historical data to make recommendations to improve purchasing contract renegotiations.
This extension helps prevent risks of losses on receivables by enabling users to make credit decisions based on internal and external credit risk information.
No need to use external applications for financial consolidation. Organizations with a legal financial group structure will be able to integrate data from S/4HANA Cloud and non-SAP S/4HANA subsidiaries into an IFRS compliant process to reduce audit costs and shorten the financial close cycle.
After participating in design thinking workshops for S/4HANA Cloud for Manufacturing, it’s nice to see this long-awaited set of capabilities finally come to life. Stock transfers, warehouse monitoring, RFQ integration, distributed manufacturing, output management, and mass maintenance for produces are now available for manufacturing organizations.
Unplanned services and purchase requisition notifications are now available for the procurement specialists.
Better analytics are now available thanks to improved report designers, more CDS views in the virtual data model, enablement of Custom CDS Views, Smart Business applications, or the Analysis Path Framework.
Beyond with SAP Leonardo
Also announced at SAPPHIRE NOW, SAP Leonardo is the new umbrella for advanced capabilities like predictive analytics, machine learning, Internet of things (IoT) or blockchain. The first scenarios were showcased with SAP S/4HANA Cloud 1705. Notice below how effortless these new features will appear to the user.
Incomplete information, grouping of payments, incorrect amounts, etc. All these factors contribute to making bank reconciliation a tedious task, requiring analysts to line up payments from customers to corresponding invoices. Over the years, software has automated this process with up to 50% success. However, with machine learning, this ratio has demonstrated up to 95% reconciliation.
The Fiori application “Quantity Contract Consumption” leverages customer data and embedded Predictive algorithms to better estimate the consumption of a contract in the upcoming days or weeks.
The Fiori application “Materials Overdue – Stock in Transit” helps logistics specialists focus on the few shipments that are likely to incur delays.
Meter readings are now mostly automated. Previous rules-based formulas were still identifying too many false positives. The new application shows a plausibility score to make the validation process more efficient.
With S/4HANA Cloud 1705, SAP has released a new level of cloud applications. Customers of this SaaS suite will benefit from more native integrations, enhancement features in all lines of business, and next-generation features supported by SAP Leonardo. Overall, this new edition goes above and beyond!
 Your organisation is unique, but is your cloud ERP strategy?
 SAP CoPilot - Hello Computer