Try our new research platform with insights from 80,000+ expert users

SAP S/4HANA vs SAP S/4HANA Cloud comparison

 

Comparison Buyer's Guide

Executive Summary

Review summaries and opinions

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Categories and Ranking

SAP S/4HANA
Average Rating
8.4
Reviews Sentiment
6.4
Number of Reviews
119
Ranking in other categories
ERP (1st)
SAP S/4HANA Cloud
Average Rating
8.0
Reviews Sentiment
7.1
Number of Reviews
52
Ranking in other categories
Cloud ERP (3rd)
 

Mindshare comparison

While both are Enterprise Resource Planning solutions, they serve different purposes. SAP S/4HANA is designed for ERP and holds a mindshare of 12.9%, down 16.1% compared to last year.
SAP S/4HANA Cloud, on the other hand, focuses on Cloud ERP, holds 19.2% mindshare, up 12.4% since last year.
ERP
Cloud ERP
 

Featured Reviews

Deepak Madhavan - PeerSpot reviewer
Implementation simplifies ERP management with comprehensive data integration and visibility
A lot of people would say the pricing. SAP is seen as quite expensive even now. It doesn't work for smaller or medium optimizations. The licensing and pricing could be looked at. In Brownfield migration, the trade-off between greenfield and brownfield means you either keep it clean or match the business requirements. Sometimes, it's not possible to do both. While ValixAPI provides significant support in making those decisions and the SAP consultant is very useful, we are still dependent on past history and how it was originally set up. I wouldn't call that a real disadvantage, yet more accessible consulting would be beneficial. Incorporating all other cloud products, like APO or IPP, into the S/4 house might also help.
Sajid Farooq - PeerSpot reviewer
Provides seamless integration of different modules in one place
Certain add-ons like quality control, payroll, and HRMS are not part of the SAP S/4HANA Cloud. SAP S/4HANA Cloud doesn't provide a quality control module. SAP S/4HANA Cloud does not have its own payroll and HRMS system. The partners develop their own cloud and integrate with the solution. There are certain modules specific to some industries, and SAP S/4HANA Cloud doesn't deal with those modules. Every partner of SAP S/4HANA Cloud has to develop its own and then integrate and certify with that solution. We can't say that these modules are part of SAP S/4HANA Cloud. There is a little area of improvement that SAP has to opt for particular types of solutions like QC, payroll, and HRMS. The graphics of SAP S/4HANA Cloud are not user-friendly. They don't look like they belong to a branded solution that costs too much. The solution's user interface is not appealing or user-friendly. On a scale from one to ten, where one is bad and ten is good, I rate the solution's user interface a five out of ten. SAP S/4HANA Cloud has built-in reports that are hard-coated. We have to alter or modify built-in reports in different marking segments, but there are no options for that. We have to build complete reports from scratch, and SAP-developed reports are not used in the market. SAP should provide a tool for customizing its developed reports so that there should not be a process of reengineering or reinventing the process.

Quotes from Members

We asked business professionals to review the solutions they use. Here are some excerpts of what they said:
 

Pros

"The most valuable feature is that HANA loads from memory, which means it loads very quickly."
"It's helped with business aspects and improved material planning and RMA processes."
"We can do a lot with S/4HANA, like HR, sales, distribution, production planning, quality management, transport management, and more."
"SAP S4HANA is a robust solution."
"SAP S/4HANA is a comprehensive ERP solution that provides better performance."
"It is really fast. It is also very stable."
"We're able to get all our processes flowing together. We're able to make all of our business processes talk to each other."
"The solution's most valuable feature is integration."
"SAP versions used to be quite cumbersome for the end-users. Now SAP S/4HANA has a totally different approach. They use Fiori landing pages, which makes life better."
"I have found the financial and production modules to be the most valuable features."
"Both standard and customized integrations work well with no issues."
"SAP is an extremely powerful ERP. In my past company, we used it on a massive large scale, and it was amazing."
"S/4HANA Cloud is very stable."
"I'd rate the solution nine out of ten."
"The solution links everything and allows us to integrate into our entire supply chain."
"The SAP S/4HANA Cloud has greatly improved our business processes. With SAP hosting the backend, database (HANA), and the application, we get all new features and security patches seamlessly according to SAP's schedule. Everything, including certifications and integrations, stays up to date for the customer. We achieve almost zero downtime, which is very important. The cloud setup provides redundancy, so if something happens at one site, it's seamless to switch."
 

Cons

"The disadvantages of this product include the lack of integration with platforms like LinkedIn."
"S/4HANA is like a ready-made suit, but it could be improved by adding more customization options, such as different colors and attractive themes in Fiori. From a functionality standpoint, there's always a workaround solution, and we've been working on SAP for the last 18 years."
"We are missing these standard packages here in Turkey. Every customer has to build their own solutions for regulatory needs, such as sending invoices to the authority."
"SAP S4HANA is not suitable for all-size companies. If you have a small company there are better fit solutions for your needs."
"The analytics part of SAP S/4HANA needs to be improved"
"Introducing better functions to our customers with the Fiori app is not easy for consultants."
"The initial setup could be better. They can make the process a little easier. The functions that we require will be available in the next release. We specifically need a new model, and I think we have some versions to implement. I already read on the SAP website that some functionalities we are waiting for are available in this new version."
"Planned Order List needs a change of screen."
"It's not easy to facilitate the solution between us and SAP, so we have had to leave those issues open."
"Certain add-ons like quality control, payroll, and HRMS are not part of the SAP S/4HANA Cloud."
"The system is very heavy and requires a lot of resources and a dedicated team. It is costly to maintain, demanding trained professionals, which adds to the expenses."
"There have been some pain points in moving from SAP to S/4HANA, but the company seems to be staying on top of those issues."
"Public cloud is single-tenant so there are limitations on what can be customized."
"The price is mainly suitable for larger companies, even then, there may be other, cheaper solutions. Additionally, this solution is the result of multiple acquisitions leaving room for there to be issues with performance."
"Sales data processing was cumbersome with many mandatory inputs. We normalized this by pulling the data out, manipulating it, and sending it back. We also had unique requirements for controlling product availability, ATP checks, and prioritization for certain customers. These were areas specific to our business model that we handled outside the tool."
"I'd like to share my experience during the migration from SAP ERP to SAP S/4HANA in the cloud. My primary challenge in this migration was the requirement to open a ticket for every request during the project phase, not during operational or post go-live phases. Despite this, I must acknowledge that overall, SAP has proven to be very reliable. To clarify the issue, after migrating to SAP S/4HANA, I opted to host my SAP solution on the private cloud by converting the license to SAP Cloud. The drawback I encountered during the project phase was the insistence on opening a ticket or service request for any issue or query I had within the project's activities. Looking ahead, I hope that SAP streamlines and simplifies this process for future customers, making it more user-friendly and efficient than my experience."
 

Pricing and Cost Advice

"The problem with SAP is that it offers two licenses, namely runtime license and enterprise license. If you have a runtime license, then you are doomed since you can't take any data out from the tool."
"In Nigeria, we have to consider currency conversion rates with the Euro and Dollar that impact the final cost. But I believe that it'll be cheaper in the cloud where SAP has to do the maintenance of the server and more in the long run."
"The product is expensive."
"The solution is expensive."
"It is costly in computing because these VMs have a huge CPU and utilization."
"It is never a cheap product since it is a prime tool in the worldwide market."
"Regarding pricing, I don't regularly deal with the financial aspects, but it is not a cheap solution."
"The tool's licensing is very expensive. They've changed their licensing model from the old ERP system to a new model using FUEs, which is somewhat better but still expensive."
"The pricing model can be complicated in certain scenarios."
"S/4HANA is an enterprise solution that many can't afford. You must invest a lot to get the most out of it. It isn't cheap. I rate the price seven out of 10."
"The price of SAP S/4HANA Cloud is expensive. However, the benefits are good. We did not purchase any upgrades."
"SAP S/4 Hana isn't cheap, but its value depends on how much you can leverage from it. It's not just about the system but how well your people are trained to use it and adapt to derive benefits."
"The tool's pricing is reasonable."
"The solution's costs have significantly increased, and we have not seen any anticipated cost savings."
"I feel the solution is expensive when it comes to what can be obtained with open source software."
"On a scale from one to ten, where one is cheap, and ten is expensive, I rate the solution's pricing a seven out of ten."
report
Use our free recommendation engine to learn which ERP solutions are best for your needs.
845,564 professionals have used our research since 2012.
 

Answers from the Community

RB
Jun 30, 2021
Jun 30, 2021
The main difference is RISE is associated with S/4 Product Range on Cloud while By Design is modeled after SAP Business One also on Cloud. So both are SaaS but the difference is in enterprise size and also application complexities. Also, RISE offers a bundle of pre-configured modules while By Design is similar to B1 with a lot more flexibility and high scalability. License wise both are per us...
See 2 answers
EB
Jun 28, 2021
Hello @Terry Jones ​, @Sanath Premachandra ​, @Ben Melchionno ​and @ASalman. Can you please assist in answering this question?
PB
Jun 30, 2021
The main difference is RISE is associated with S/4 Product Range on Cloud while By Design is modeled after SAP Business One also on Cloud.  So both are SaaS but the difference is in enterprise size and also application complexities. Also, RISE offers a bundle of pre-configured modules while By Design is similar to B1 with a lot more flexibility and high scalability. License wise both are per user on the cloud.
 

Top Industries

By visitors reading reviews
Educational Organization
38%
Computer Software Company
9%
Manufacturing Company
9%
University
4%
Computer Software Company
15%
Manufacturing Company
12%
Educational Organization
6%
Construction Company
6%
 

Company Size

By reviewers
Large Enterprise
Midsize Enterprise
Small Business
 

Questions from the Community

Are there any advantages of SAP S4 HANA over SAP Business One (SAP B1) apart from the cost?
SaP Business One is a complete solution for business management. The software applications are broad, ranging from accounting to project management and human resources. It is very versatile and com...
What needs improvement with SAP S4HANA?
There could be a bit more competitiveness in their licensing and pricing.
What is your primary use case for SAP S4HANA?
It is a great product to be implemented for different industries for my customers. Can it be used globally?
What do you like most about SAP S/4HANA Cloud?
The manufacturing area is a good feature.
What is your experience regarding pricing and costs for SAP S/4HANA Cloud?
SAP S/4HANA Cloud is very expensive, both to purchase and maintain. It's important to evaluate the costs of recruiting and maintaining trained personnel as it's not just a one-time payment yet requ...
What needs improvement with SAP S/4HANA Cloud?
The system is very heavy and requires a lot of resources and a dedicated team. It is costly to maintain, demanding trained professionals, which adds to the expenses. This makes the overall cost ver...
 

Also Known As

SAP S4HANA
SAP S4HANA Cloud
 

Overview

 

Sample Customers

Nestle, O.C. Tanner, Sabre, New York Life Insurance Co., MEMEBOX, Siemens AG.
La Trobe University, Carrefour Comércio e Indústria Ltda, Delaware Consulting and Corning Inc.
Find out what your peers are saying about SAP, Microsoft, Oracle and others in ERP. Updated: March 2025.
845,564 professionals have used our research since 2012.