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The Americas’ SAP Users’ Group (ASUG) announced the results of its second-annual member survey on SAP HANA adoption. The survey, conducted during September and October 2015, drew 1,253 respondents from a wide range of industry and company size backgrounds.
The full survey report, which can be downloaded by ASUG members, is chock-full of insight and useful links and includes analysis provided by Kevin Reilly, ASUG’s S/4HANA Community Advocate.
More than 90 percent of the survey respondents self-identified as ASUG members. Their responses provide critical insight into customers’ HANA interest and adoption levels, revealing several significant trends occurring within SAP’s North American user community, including three notable themes:
1. HANA Adoption Is Increasing, and More Projects Are in the Pipeline
We see some uptick among the percentage of respondents who’ve purchased HANA: In 2014, 40 percent of customers surveyed had bought HANA as compared with this year’s 45 percent. This is a rough comparison, since we are dealing with different sample sizes, but anecdotally, there’s an upward trend.
There’s also plenty of planned HANA investments on track among our 2015 survey respondents. Of those who’ve implemented HANA, we asked if they have additional HANA projects upcoming: 23 percent of the 422 respondents who answered the question said they have one or more projects underway; 22 percent said they have one or more planned and approved; 31 percent said they have one or more planned but not budgeted; and 23 percent said they had no more in the works at the time.
Overall, most HANA engagements went well: 90 percent of the 388 who answered the question said their most recent HANA implementation met or exceeded expectations.
“The survey shows a definite trend among members on increasing HANA adoption, and I fully expect that to continue,” comments Reilly, in the report. “The high percentage of successful HANA implementations is likely a result of two factors: Delivering HANA on an appliance, plus the full-court press of support from SAP to ensure positive results.”
2. ASUG Members Want More Clarity on Business Cases
SAP has work to do to help customers, who’ve yet to purchase HANA, understand and frame compelling business cases and cost savings arguments.
When we asked respondents who have not yet purchased SAP HANA why they haven’t licensed the platform, 58 percent said it was due to lack of a business case that justifies investment. (We accepted multiple responses, and there were 443 who answered the question.)
Also cited in the survey were budget issues or timing for funding to support a move to HANA (48 percent), followed by not having identified a full set of optimization scenarios requiring HANA (33 percent). After that was a lack of understanding of the SAP HANA roadmap (22 percent), and the need to catch up on SAP upgrades or enhancement packs as a predecessor activity (21 percent).
“The licensing structure of the unfolding S/4HANA products is currently not well understood,” Reilly says in the report. “No successful CIO can sleep easy at night without knowing all of the ramifications of the cost/benefit calculations around any product. SAP still needs to address this licensing question before many of the ‘wait-and-see’ customers hop on board the S/4HANA train.”
3. S/4HANA Poised to Drive Interest in HANA
Not yet a year old, S/4HANA is definitely on the radar of respondents and could be an accelerator of HANA adoption overall. Our respondents, polled prior to the launch of S/4HANA 1511, tell us they are most interested in S/4HANA’s real-time analytics.
We asked respondents how the announcement of the in-memory-powered business suite has changed their views on migrating from their existing SAP landscape to HANA. Of the 860 respondents who answered the question, where we accepted multiple answers, 32 percent said they plan to invest more in HANA in the near term.
However, other respondents are still on the fence: 37 percent said they don’t know or are not sure on S/4HANA’s impact on a move to HANA, 22 percent said they have no immediate plans to increase their investment in HANA, 17 percent reported they don’t plan to make any changes in their use of SAP, and 3 percent say they are planning to move off SAP rather than make the move to HANA.
“With S/4HANA still a relatively young product, it is not surprising that more than one-third of the respondents are still in wait-and-see mode,” comments Reilly, in the report. “The initial release of S/4HANA functionality in the finance software was too small and focused on an area that was going to be challenging to convince the majority of customers to jump into S/4HANA with both feet. The November release of S/4HANA 1511, however, will likely change that, as added functionality is now available.”
Get More Informed: Tune into Webcasts, Download Report
ASUG has already delivered dozens of HANA and S/4HANA webcasts—for novices up to experts—that you can listen to any time. ASUG members can follow this link to check out the complete list.
The full SAP HANA Adoption report, including commentary from SAP’s Steve Lucas, is available to ASUG members via the ASUG Research Services Discussions page on ASUG.com. Download it and let us know what you think.
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