Welcome to the 3rd in a series of blogs to dispel myths about SAP and the Cloud. Today we will debunk the myth that you either stay on premise or go with the cloud.
Companies want to avoid information islands and fragmented processes and unfortunately cloud solutions could contribute to this problem. Some would even say it has made the problem worse. However, moving to the cloud and losing enterprise context is not an option.
The early cloud entrepreneurs have been and still are pure cloud vendors - "cloud purists". Their solutions do take the customer´s on-premise history in account, nor do they think they need to safeguard existing customer investments – they prefer a “rip and replace” strategy over integration. This drives customers onto a corner where they hink they have to make a decision for either on premise OR cloud. Not very helpful.
On the other hand, NOT making any decisions is also not an option. Cloud computing is here to stay, with the caveat that the entire industry is in the first 3 miles of a marathon in regards to cloud computing. There are not many companies in the market who can show successful integration projects on large, enterprise scale, though it is a must to prevent application silos. The market is reacting to this as a recent survey shows (Wakefield research). At the same time decision makers understand that migrating to Hybrid Cloud Services increases efficiency as you can see from the same report - and delivers on the cloud promise of agility and velocity.
Here are the facts:
Simply said, business requires a clear strategy that encompasses cloud as well as other (e.g. on premise, mobile) solutions and landscapes. Based on many customer conversations and in depth co-innovation projects, it is clear to SAP that the market expects the freedom of choice and a single "hand-to-shake" to get there without major disruption: SAP is the only vendor today that deliver cloud (SaaS – Software as a Service) solutions + integration tools + integration content + extensibility platform (PaaS – Platform as a Service) as a unified solution approach. You can find more details on the technical concept in this blog here. We created proof points for this new hybrid reality with many customer cases already. Let us share two of them:
SAP Cloud for Customer – A large Industrial manufacturer with multiple subsidiaries on different SAP ERP clients. In addition third-party ERP installations had to be integrated into the flows. The challenge was a short time frame to achieve a rapid implementation with a small team to integrate accounts, materials, sales quotes and sales orders.
SAP Cloud for People – A large manufacturing company with SAP ERP, multiple legacy HR and financial applications worldwide. The goal was to migrate to the cloud from the existing legacy HR system.
120+ third-party interfaces – Integration of third-party cloud solutions to SAP Employee Central (EC) and EC Payroll
100% of SAP-to-SAP integration and 30% of total number of required integration covered by prepackaged integration (iFlows)
Watch this Youtube video to get an idea of the freedom of choice and the power of integration
Enjoy this Youtube video for a 5min hands on session about Integration
The SAP cloud portfolio has been designed to serve the hybrid cloud reality. We bring SaaS, integration tools and integration content together to ensure Interoperability for our Customers. This delivers the freedom to pick and choose whatever creates value for the customer, independent of the technology stack. Cloud Computing will simply become an additional option in a heterogeneous but integrated landscape.
Interested to read more? Here is our cloud fact book. Next time we will talk about Myth #4: Running mission-critical systems in the cloud is not secure.