The SAP Clean Core Strategy
SVP & Senior Executive
As the industry continues to evolve, so does the technology and the ERP solution. In the ERP
world, SAP continues to be at the top of the pile by changing with the times. With recent
Cloud based SAP S/4HANA solutions, the term "Clean Core" is becoming a buzzword. In this
article, let’s try to understand a bit more about the “Clean Core”.
What
The SAP Clean Core strategy refers to keeping the core of the SAP system as standardized
and unmodified as possible. That is, it is the usage of SAP software in its most ‘pure’ form,
with minimal or no customizations at all. In simple terms, it is about leveraging the best
practices of SAP and its out-of-the-box functionality by moving custom extensions onto
either the SAP Cloud Platform or Business Technology Platform.
Many people think that the Clean Core is relevant only before migrating to SAP S/4HANA, but
in reality, Clean Core is a mindset that applies to your SAP landscape throughout the
lifecycle, specifically for on-prem and Private Cloud implementations.
Why
Most organizations have implemented SAP by making business specific customizations and
changes specific to their unique business needs. While providing desired functionality,
these often times created long-term challenges, such as the upgrade of systems or even
migrating, upgrading, securing the cloud. Many customizations resulted in complicated
landscapes that were expensive to maintain, upgraded at a slower pace, and less agile
toward the implementation of new business processes. As SAP makes newer features and
functionalities available, the customizations hold enterprises back by requiring extensive
test cycles and upgrading the custom code to work with new upgrades.
Agility, scalability, and speed of deployment have been growing with the rise of SaaS
models. That is where the Clean Core strategy fits in. With a minimum of customizations and
utilization of SAP standard features and capabilities, Clean Core will imply less cost and
more flexibility with streamlined operations.
Key Components
1. Minimal Customizations: All that Clean Core strategy implies is to reduce or avoid
custom code within the core SAP system. This can be achieved by reviewing the
existing customizations and their value or necessity for existence.
2. SAP Cloud Platform for Extensions: Organizations can effectively leverage SAP
Cloud Platform or SAP Business Technology Platform for extensions, instead of core
customization, to accommodate any necessary extensions without compromising
the integrity of the core system.
3. Standard Functionalities and Best Practices: Adopting best practices for the
industry and leveraging the standard functionalities of SAP will ensure that the core
system remains clean and easy to manage.
Benefits
Adopting a Clean Core strategy has various benefits, such as,
• Simplified Upgrades and Maintenance: With fewer customizations, the upgrade of
SAP systems is bound to get easier as it reduces downtimes and overall costs related
to upgrade cycles.
• Lower TCO: A clean core minimizes the system landscape's complexity. Lower
complexity in system landscapes drives down maintenance and support costs.
• Greater Agility and Innovation: Businesses can quickly adapt to new business
requirements and technological advancements without the burden of an overly
customized system.
How
Implementation of the strategy of Clean Core requires painstaking planning and execution:
1. Assess Existing Customizations: Give due consideration to the review of present
customizations, deciding which are absolutely necessary and which can be retired
or substituted with standard functionality. Cybertrack – a comprehensive custom
code analysis tool from CyberTech becomes extremely valuable in understanding
the customizations and the usage.
2. SAP BTP Adoption: Migrate the required extension or custom development onto SAP
BTP. This de-couple the custom code from the core for easier upgrades and
maintenance.
3. Transition Roadmap Development: Create a roadmap outlining the steps,
timelines, and resources necessary to accomplish the Clean Core strategy.
Challenges
While there are indeed challenges to implementing a Clean Core strategy, the benefits will
be worth noting. To be sure, there could be resistance from various constituents who have
grown used to highly customized environments. Such challenges can only be overcome by
a well-thought-out change management process, stakeholder communication, and
articulation of benefits.
The SAP Clean Core strategy is much more than a trend, it is about strategic change toward
a more agile, cost-efficient, and future-proof SAP landscape. On the journey to continuous
digital transformation, adaptation to Clean Core can unlock considerable value for business
prosperity in the long run. It's about time to welcome simplicity, innovation, and the future
with SAP.
Take the first step
Although numerous partners can assist with your Clean Core journey, CyberTech stands out
by offering you speed, agility, and accuracy, through its vast experience and exclusive tools
and accelerators.
Parag Bhalerao
[Link]
