Which ERP Package Can Help Your Company

Achieve Its Goals?

SAP S/4HANA is one of the most deployed post-modern ERPs. Whilst the
ERP of the 20th century concentrated on the digitization of business
processes, The post-modern ERP focuses on the digital transformation of
the business process.

The SAP Business One vs. SAP S/4HANA Comparison Report details the
most important differentiating characteristics between the solutions, but
in terms of functions and features only. The comparison chart enables you
to quickly evaluate the support for functions and characteristics of two or
more suites. However, this document does not consider your importance
of your acquisition project priorities, which nonetheless are proven to
have a significant effect on the final selection. This should not be
discounted if you would like to run a more thorough comparison.

Your comparison report might include such evaluation components as:

 Financials

 Human Resources

 Manufacturing Management

 Inventory Management

 Purchasing Management

 Quality Management

 Sales Management

 Product Technology
SAP Business One vs. SAP S/4HANA: The Comparison Results
Out of a total of 3,539 decision criteria spread across the eight sub-modules that form
the comparison matrix, SAP S/4HANA offers noticeably better coverage of ERP software
characteristics compared to its direct competitor SAP Business One, regardless of how
those functions are offered (e.g. "out of the box", via an integrated partner solution,
through add-ons, and so on). Let's take a closer look at how each software package
fares in regard to the eight domains.

1. Financials
By analyzing the two software systems, we notice that SAP S/4HANA scores considerably
higher than SAP Business One in terms of functions and features related to Financials. In
this area, SAP S/4HANA excels in functionalities that are supported out of the box.
2. Human Resources
SAP S/4HANA has a significant upper hand over SAP Business One in regard to Human
Resources features and functionalities.

3. Manufacturing Management
Between the two options, SAP S/4HANA scores massively higher than SAP Business One
in capabilities related to Manufacturing Management. In this area, SAP S/4HANA leads in
terms of functionalities which are supported innately.

4. Inventory Management
In this domain, SAP S/4HANA has a formidable lead over SAP Business One. Here SAP
S/4HANA excels in regard to Inventory Management capabilities provided out of the box.

5. Purchasing Management
When looking at Purchasing Management features and functions, SAP S/4HANA
vigorously outperforms its competitor, leading in functionalities that are delivered off the
shelf.

6. Quality Management
Again, SAP S/4HANA bests SAP Business One in this domain, with an astounding lead
over SAP's software. In this module, SAP S/4HANA excels in terms of out-of-the-box
Quality Management functions and features.

7. Sales Management
When looking at the Sales Management module, SAP S/4HANA is a considerably more
capable challenger than SAP Business One.

8. Product Technology
SAP S/4HANA receives a significantly higher score than SAP Business One in this
module. Here, SAP S/4HANA leads in terms of functionalities that are available off the
shelf.
TOP 6 SAP S/4HANA BUSINESS BENEFITS YOU MUST CONSIDER:

1. Simplification
SAP S/4HANA introduces a healthy dose of simplification to management and
administration of the IT landscape.  SAP S/4HANA enables centralization of hardware
and network resources. Therefore, it is the digital core for business process simplification
with the power of the SAP HANA in-memory database.

With SAP ECC and older systems, enterprises often face issues of multiple batch-run
dependencies. However, with SAP S/4HANA, you benefit from the elimination of
aggregate tables and reduced processing time. In addition, your systems can easily
respond to transactions and queries. All this ensures that you can spend your efforts on
strategic growth efforts.

2. Performance
SAP S/4HANA offers improved performance. It allows you to plan, execute, and generate
reports & analytics based on live data. In addition, you can trigger period closings and
provide improved predictions. Moreover, SAP S/4HANA enables your organization to
provide better service for customer-centric applications. The ever-so powerful SAP HANA
offers increased contextual awareness and democratized data access.

3. Innovation
SAP S/4HANA sets the stage for future innovation. Technology is evolving rapidly.
Therefore, merely ‘keeping up’ is no longer sufficient. Enterprises must stay ahead of the
digitization curve and make decisions which are future ready.

Applications built on SAP S/4HANA applications leverage speed, context and data
accessibility like never before. In addition, they drive cloud adoption. The cloud platform
enables organizations to deliver innovative solutions and widen the capabilities offered
by SAP S/4HANA.

4. Cost-Effectiveness
Adopting SAP S/4HANA is a smart move, as far as cost efficiency is considered. You have
the ability to bring together all analytical and transactional capabilities of a plethora of
systems onto one location. This enables better, informed decision making which can help
your business drive better ROI.
5. Usability
SAP Fiori provides a modern design for a completely innovative user experience. It
enables users to easily access Overview Pages, Work Lists and List Reports. SAP Fiori’s
UI is designed to be highly intuitive, personalized, responsive, and simple. Therefore,
users can prompt questions and access required details, regardless of the device or
mode of deployment. This allows an organization to evolve and drive new revenues,
connect with customers at a deeper level, access IoT and Big Data, and most
importantly, gain relevant insights into any data, in real-time. Hence, organization can
make decisions faster, a factor which is crucial for enterprises in the current digital age.

6. Easy transition from on-premise to cloud

A major benefit which comes along with adopting SAP S/4HANA is that it offers an easy
transition to the cloud. Since a move to the cloud can happen at any time in an
organization, this is an important benefit for business leaders to consider.

However, the decision to adopt SAP S/4HANA is not a simple move. Just understanding
the SAP S/4HANA Business Benefits does not mean you are ready to adopt SAP
S/4HANA. It requires deep thought, intensive assessments, and  a careful evaluation of
the benefits your organization can leverage to stay ahead of the digitization curve and
compete in today’s business environment.

HOW DOES SAP S/4HANA TRANSFORM FINANCIAL REPORTING ?

What functionality does SAP S/4HANA provide for

Financial Reporting?
 Streamline financial reporting and multidimensional analysis processes
 Reduce the cost and risk of real-time financial reporting and analysis activities
 Gain financial insight from predefined reports and configurable reporting tools
 Improve understanding by drilling into financial statements and data sources,
such as materials or sales information

What are the benefits of using SAP S/4HANA to

manage Financial Reporting?
 Enhance business insight through business intelligence and data visualization
solutions
 Improve compliance and auditability, thanks to reliable, complete financial and
regulatory statements
 Reduce cost of audits through audit trails, an audit information system, and
retention and reporting of tax data
What are the functional changes in the Financial
Reporting functionality in SAP S/4HANA compared to
SAP ECC?
 A simplified data model that combines finance and controlling capabilities,
consolidating all relevant information in one place and allowing users to slice and
dice data down to the line-item level
 Core data services (CDS) views that enable users to benefit from both highly
customized legacy reports and new built-in analysis
 Replacement of certain transactions and programs with new transactions,
programs, or applications in a Web development environment to speed
processing
 Semantic tagging functionality and flexible hierarchies for reporting available in
SAP S/4HANA Enterprise Management

What are the innovations which SAP S/4HANA has

brought in for Financial Reporting functionality?
 Single universal journal table for general ledger, controlling, asset accounting,
and inventory accounting items, eliminating the need for reconciliation
 The inclusion of cost elements from controlling as part of general ledger master
data
 SAP Fiori–based user experience across all process steps
 Roles with dedicated SAP Fiori apps: –
o General Ledger Accountant

o Inventory Cost Accountant

o Production Cost Accountant

o Sales Cost Accountant

o Overhead Cost Accountant

HOW IS SAP S/4HANA TRANSFORMING REPORTING AND DISCLOSURE?

What functionality does SAP S/4HANA provide for

reporting and disclosure?
  Gain insight into financials to reduce the time, cost, and risk of regulatory filings
and disclosures
 Accelerate financial reporting and disclosure with fact-based decision-making
 Access relevant information anytime and anywhere to better understand business
needs for quick and confident action
 Generate pixel-perfect reports and clear, understandable metrics to gain visibility
into what’s driving the business
 Boost profitability, reduce risk, and comply with International Financial Reporting
Standards (IFRS) and local GAAP or US GAAP thanks to transparency and insight
What are the benefits of using SAP S/4HANA to
manage reporting and disclosure?

 Reduced audit cost by using comprehensive audit trails, audit information

functions, and tax data retention and reporting functions
 Reduction in finance cost by streamlining financial reporting, disclosure, and filing
processes
 Reduced days to close annual books by streamlining financial reporting,
disclosure, and filing processes

What are the functional changes in the reporting and

disclosure functionality in SAP S/4HANA compared to
SAP ECC?
 New SAP Fiori apps for financial reporting
 Reporting of quantitative data from multiple data sources
 Focus on corporate accounting, responsible for the preparation and filing of
external financial statements and related regulatory filings as well as
management reporting
 Reporting of qualitative data, including the creation and editing of qualitative
(textual) data such as notes to statements
 Flexible business-user owned and managed reports intended to be edited and
adjusted regularly
 Support for XBRL with flexible mapping and extension
 Support for SEC form 10K and form 10Q, FINREP, COREP, Solvency II, and E-
Bilanz where dedicated content-based solutions have been developed

What are the innovations which SAP S/4HANA has

brought in for reporting and disclosure functionality?

 Immediate access to data source resulting in the flexible generation of reports

 SAP Fiori–based user experience across all process steps, even in Microsoft Office
Excel workbooks
HOW DOES SAP S/4HANA TRANSFORM PROFITABILITY AND COST ANALYSIS?

What functionality does SAP S/4HANA provide for

profitability and cost analysis?
  Make better-informed profitability and cost decisions
 Deliver service at a lower cost
 Gain real-time access to financial data, with the ability to drill down to line-item
levels

What are the benefits of using SAP S/4HANA to

manage profitability and cost analysis?
  Cut finance department cost with automated functionality that reduces the need
for manual tasks
 Lower audit cost by enabling detailed audit trails, retention of tax data, and
reporting
 Accelerate time to close books by minimizing financial processing disruptions
during the period-end closing

What are the functional changes in the profitability

and cost analysis functionality in SAP S/4HANA
compared to SAP ECC?

 Ability to quickly change predefined reports and create new reports using a query
designer tool
 Additional reporting variants, including plan versus actual, actual, currency
conversion, year to date, cost centers, internal orders, projects, market
segments, profit centers, profit-and-loss functional areas, and sales orders
 Real-time availability of profitability information for profitability reporting during
the month, resulting in a more-efficient month-end closing and faster
decisionmaking
 Availability of transfer pricing for clear insight into the internal supply chain
 Integrated financial planning with SAP Business Planning and Consolidation for
SAP S/4HANA
What are the innovations which SAP S/4HANA has
brought in for profitability and cost analysis
functionality?

 Simplified data model, allowing fast and transparent reporting

 The inclusion of profitability segments in the universal journal in real time,
allowing for fast and transparent profitability reporting during the month and
faster, more-reliable decision-making
 Extension of the universal journal to include planning and consolidation data
 Capture of intercompany relationships in the material ledger used as a basis for
transfer pricing
 Ability to add flexible hierarchies and semantic tagging allows for adding ad-hoc
reporting structures (alternative views on data)

HOW DOES SAP S/4HANA TRANSFORM FINANCIAL RISK MANAGEMENT?

What functionality does SAP S/4HANA provide for

financial risk management?
 Assess financial risks, including foreign exchange, interest rate, price, and credit
risks, and manage market conditions in real time using robust analytics
 Gain immediate insight into various risk positions using what-if analyses and
make proactive decisions
 Improve compliance, reduce exposure to solvency issues, and create effective
hedging strategies that meet GAAP and IFRS standards
 Get instant insights with real-time analytics, enterprise-wide data integration, and
a consistent user experience across all devices
 Keep up with changing global regulations, enhance compliance, and mitigate risks

What are the benefits of using SAP S/4HANA to

manage financial risk management?

 Reduce compliance and risk management costs by automating reporting and by

using risk scenarios to create real-time hedging strategies
What are the functional changes in the financial risk
management functionality in SAP S/4HANA compared
to SAP ECC?

 SAP Fiori–based reporting capabilities with unlimited granularity

 Identification of risk exposures across the organization
 Optimized foreign exchange (FX) and hedge management capabilities
 Legal compliance and preparedness for upcoming regulatory challenges such as
IFRS 9
 Treasury reporting:
o Balance sheet, FX exposure: further drill-down functionality into exposures
and hedging instruments
o Credit line analyzer

o Overview pages for FX process to bundle different apps into one factsheet

What are the innovations which SAP S/4HANA has

brought in for financial risk management
functionality?

 New data model, called “one exposure,” based on SAP S/4HANA

 SAP Fiori–based user experience across all process steps
 Role with dedicated SAP Fiori apps:
o Treasury Risk Manager

HOW DOES SAP S/4HANA TRANSFORM REVENUE AND COST ACCOUNTING ?

What functionality does SAP S/4HANA provide for

Revenue and Cost accounting?

 Enable informed, real-time decision-making through integrated revenue and cost

accounting processes
 Assign costs and revenues to the profit-and-loss statement in real time, providing
the basis for legal and internal segment reporting
 Calculate contribution margins for distinct market segments or groups,
segregating revenue and costs by-products, customers, business units, or
company divisions
What are the benefits of using SAP S/4HANA to
manage Revenue and cost accounting?

 Increase sales productivity with accurate sales data available anytime and
anywhere
 Accelerate period-end closings through streamlined financial reporting, disclosure,
and filings
 Improve decision-making by using higher-quality information

What are the functional changes in the Revenue and

cost accounting functionality in SAP S/4HANA
compared to SAP ECC?

 Real-time derivation of characteristics for profitability reporting, with costs posted

to the relevant cost centers, orders, and projects
 Availability of splitting cost of goods sold (COGS) in SAP S/4HANA
 More transparency into realignment results for profitability analysis (through an
SAP Fiori app)

What are the innovations which SAP S/4HANA has

brought in for Revenue and cost accounting
functionality?

 New account type for revenue and sales deductions (merging cost elements and
accounts)
 Characteristics (from CE4 table) now columns in the universal journal, for easier
reporting
 SAP Fiori–based user experience across all process steps
 Roles with dedicated SAP Fiori apps:
o General Ledger Accountant

o Cost Accountant –Sales