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FOR INTERNAL SAP AND PARTNER USE AND SUGEN ONLY
Dirk Kästner
SAP S/4HANA Business Development
April 26, 2018
SAP S/4HANA Licensing ModelSUGEN
2FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Disclaimer
▪ This is an overview of SAP’s pricing and licensing.
▪ This is not a legal document.
▪ This document does not supersede existing contracts or software use rights.
▪ This document is not an exhaustive summary of all the legal clauses, obligations, and
responsibilities that are represented in a software purchase.
▪ This document is not guaranteed to be 100% accurate with respect to the base underlying legal
documents.
▪ In case of a conflict between this document and a legal document such as the software use rights,
terms of use, or other legal document, then the legal document will take precedence.
▪ Pricing on the slides are examples in a local currency. Always use the applicable local pricing
information.
3FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Dirk Kästner
Husband, Father, …born to Golf – forced to work ;-)
Global SAP S/4HANA Business Development, SAP SE
• Since 1999 @SAP
• Developer (Simulation of R/3, Batch, Monitoring)
• Quality Manager Lifecycle Management
• Executive Director to Head of SAP NetWeaver and SAP Research
• SAP P&I Business Information Officer
• Global SAP S/4HANA Business Development
It‘s me
4FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Document
MATERIAL VALUES
VBAK
LIKP
PRCD_
Elements
(new)
VBFA
(Simplified)
VBAP
KIPS
VBRPVBRK
BKPF BSEG
ACDOCA
FAAT_
DOC_IT
FAAT_
YODA
FAAT_
PLAN_
VALUES
MARD
MATDOCMATDOC_
EXTRACT
MCHB
MSKA
MARC
MKOL MSPR
MSKU
MSLB
Used for Master Data only
MLDOC
MLDOCCCS
MBEW
EBEW
QBEW
OBEW
ML
Valuation
Used for
Master
Data only
CKMLKEPH
CKMLPPWIP
SALES FINANCE
Document
Header Item
MATERIAL QUANTITIES
Material Document
IndicesTotals
MATERIAL VALUES
Valuation in MM or Valuation ML
Aggregates
Hybrid: Master Data
with Valuated Stock
MBEW
EBEW
QBEW
OBEW
MBEWH
EBEWH
QBEWH
OBEWH
MLPP
MLCR
MLCRF
MLKEPH
CKMLCR
CKMLPP
MLHD
MLIT
History
MARD
MKPF MSEG
MCHB
MSKA
MSSA
MSTE
MARC
MKOL
MSSL
MSTQ
MSPR
MSSQ
MSTB
MSKU
MSLB
MSSAH
MSTEH
MARCH
MSLBH
MSKAH
MSTBH
MSTQH
MARDH
MCHBH
MSKAH
MSSQH
MKOLH
MSKUH
Aggregates
Stock Aggregates History
Inventory Movements Hybrid: Master Data with Stock Aggregates
SAP Business Suite
GL, AR, AP
New GL
CO
AA
ML
Sales Order
Delivery
Billing Document
Status Info
Conditions
Document Flow
KONV
VBFA
Header Item
CKMLPP
CKMLCR
MLCD
CKLMMV004
CKMLMV004
BKPF
ANEK
BSEG
FAGLF
LEXA*
COEP
ANEP
MLIT…
ANEA
GLT0
LFC1
FAGLF
LEXT*
COSS
ANLC
MLCD…
KNC1
LFC3
COSP
ANLP
MCLR…
KNC3 BSIS
BSID
FAGL
BSIS
BSIM*
BSAS
BSAD
FAGL
BSAS
CKMI1*
BSIK
BSAK
COBK
MLHD…
VBAK
LIKP
VBAP
LIPS
VBRP
VBUP
VAKPA
VLKPA
VRKPA
VBOX
VAPMA
LKPMA
VRPMAVBRK
VBUK
Simplifying database & table structures to prepare for scale
5FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
▪ SAP S/4HANA Suite Overview & Solutions
▪ SAP S/4HANA On-Premise Licensing Model
▪ Example Net New Customer
▪ SAP S/4HANA prerequisites
▪ Convert SAP ERP customers towards SAP S/4HANA (Conversion Policies)
▪ SAP S/4HANA Cloud
Agenda
6FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA 1709 – S/4HANA Suite
Industries
Enterprise Management
Suite**
Products*
Suite**
Products*
▪ Basic inventory, warehousing, and
transportation
▪ Production planning
Supply Chain
▪ Integrated business planning
▪ Global batch traceability
▪ Extended warehouse management
▪ Transportation management
▪ Advanced inventory, warehousing,
and transportation
▪ Order and contract management
Sales
▪ Sales performance management
(ICM)
▪ SAP Hybris Sales Cloud
▪ SAP digital payments add-on
▪ SAP CRM
▪ Core accounting
▪ Cost management and profitability
analysis
▪ Basic financial operations
Finance
▪ Financial planning and analysis
▪ Accounting and financial close
▪ Treasury management
▪ Advanced financial operations
▪ Commodity management
▪ Governance, risk, and compliance
▪ Governance, risk, and compliance
Financial services network
▪ SAP digital payments add-on
▪ SAP Cash Application
▪ Service master data and agreement
managementc
▪ Service operations and processesc
▪ Service parts managementc
Service
▪ SAP Hybris Service Cloud
▪ SAP Hybris Service Engagement
Center
▪ SAP CRM
Human Resources
▪ Core human resources and payroll
▪ Talent management
▪ Time and attendance management
▪ Human capital analytics
▪ Time recording
Marketing and Commerce
▪ Subscription billing and revenue
management (“BRIM”)
▪ SAP Hybris Commerce
▪ SAP Hybris Marketing Cloud
▪ SAP CRM
▪ Operational purchasing
▪ Collaborative sourcing and contract
management
▪ Supplier management
▪ Procurement analytics
Sourcing and Procurement
▪ Supplier collaboration
▪ Business network
▪ Guided end-user buying
▪ External workforce management
▪Maintenance management
Asset Management
▪ Asset operations and maintenancec
▪ Environment, health, and safety
▪ Production operations
▪ Quality management
▪Manufacturing insights
Manufacturing
▪ Responsive manufacturing (ME, MII,
QIM, VE)
▪ Production operations (MII, QIM)
▪ Digital operations for manufacturing
▪ Extended production scheduling and delivery planning
R&D / Engineering
▪ Enterprise portfolio and project
managementc
▪ Product lifecycle management
▪ Product safety and stewardship
▪ Digital operations for R&D
▪ Project control
▪ Product development
▪ Product engineering
▪ Complex manufacturing
▪ Extended Procurement
▪ Asset performance and intelligence
7FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA: Complete, Consistent Choice
On PremiseCloud
SAP S/4HANA
One Code Line
SAP S/4HANA’s code line, simplified data model, and modern user experience are consistent for both cloud and on premise. Designed for in-memory, SAP S/4HANA brings new business capability while simplifying the IT landscape.
Considerations for selecting the right SAP S/4HANA solution:
▪ Business functionality
▪ Regulatory, industry, and regional requirements
▪ Individualization options
▪ IT Strategy
▪ Innovation cycles
▪ Adoption/upgrade efforts
▪ TCO
▪ Commercial models
8FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The right solution for each customer situation
Cloud ERP
SAP S/4HANA Cloud
SaaS solution
▪ Configurable standardized processes and best practices for finance, procurement, HR, and sales
▪ In-depth support for professional services and component manufacturing; more industries on road map
▪ Extensibility with PaaS
▪ Public cloud infrastructure
▪ Quarterly release cycle
▪ Lowest TCO
▪ Fastest time to value
▪ Subscription licensing
SAP S/4HANA Cloud, private editions
Private cloud
▪ All private editions run onSAP HANA Enterprise Cloud
▪ Customizable packages and bundles
▪ All industries supported
▪ Extensibility with PaaS
▪ SAP-managed services on private cloud infrastructure (SAP, AWS, Microsoft Azure, or Google Cloud Platform)
▪ Annual release cycle, speed of adoption depending on configuration
▪ Low deployment/maintenance/upgrade efforts vs on-premise ERP
▪ Subscription licensing
SAP S/4HANA
On-premise capabilitiesmanaged by customers
▪ On-premise functional scope
▪ All industries supported
▪ Customize, modify, and extend
▪ Customer infrastructure or IaaS
▪ Annual release cycle, speed of adoption depending on configuration and custom modifications
▪ Best-in-class deployment/upgrade efforts for on-premise ERP
▪ Perpetual licensing
SAP S/4HANA Pricing On-Premise
10FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
S/4HANA on prem License Model for Existing and Net New Customers
S/4HANA Enterprise Management
[7018652, 7018653, 7018654]
Named Users
Per user fee
Existing ERP customers
HANA
Run-time or Full Use
ERP package
Flat fee (includes 5 Prof. named users)
S/4HANA Enterprise Management
for ERP customers
[7018538]Named Users
Per user fee
S/4HANA Industry & LoB Solutions
Already have and can keep
using
S/4HANA 2016 onward
Already have this
Net New ERP customers
HANA
Run-time or Full Use
User
S/4HANA Industry & LoB Solutions
Flat-Fee
Cash Mgmt. Central Finance …
Revenue
…
Revenue Metric Metric
Cash Mgmt. Central Finance
Revenue Revenue
… …
Metric Metric
11FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA On-Premise Enterprise ManagementLicense and Metric
Metric
User
Metric
depending
on solution
7018652 SAP S/4HANA Enterprise Management for Professional useThis license allows performing all role required operations, including management and system
administration tasks.
7018654 SAP S/4HANA Enterprise Management for Functional use
• Project Financial Controls;
• Project logistics Control;
• Basic subcontracting;
• Basic External Processing;
• Product Development Foundation;
• Production BOM Management;
• Recipe / Routing Management;
• Inspection Planning,
• Quality Engineering and Quality Improvement;
• Kanban, JIT Outbound and Inbound Processing;
• Repetitive Manufacturing;
• Maintenance Planning and Scheduling
• Master Data Maintenance;
7018653 SAP S/4HANA Enterprise
Management for Productivity Use
• Production Control;
• Basic Production Execution;
• Material Requirement Planning;
• Basic Order Promising / Available to Promise;
• Goods Issue;
• Good receipt;
• Basic Shipping;
• Basic Warehouse Management;
• Maintenance Execution;
• Self-Service Requisitioning;
• Time Sheet
7018682 S
AP
S/4
HA
NA
, d
evelo
per
access
Cash
Management
Portfolio &
Project
Management
…
Revenue User …
Further Details:
Solution Explorer
Feature Scope Description
12FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA, developer access
• This material code is for new S/4HANA customers licensing SAP S/4HANA Enterprise Management to allow developers to make ABAP
based enhancements / modifications to any SAP S/4HANA application.
• Note: There is NO obligation to license S/4H Developer Access as part of any S/4H deal unless it is needed by the customer who is indeed
going to make ABAP based modifications and extensions
• Existing SAP ERP customers who upgrade to S/4 HANA using SAP S/4HANA
Enterprise Management for ERP Customers [7018538] can continue to use or license
the classic material code 7003013 - SAP Developer User
Example Net New Customer
14FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The S/4HANA On-Premise Licensing ModelExample / Customer Requirement
Customer Employees Required Solution Capabilities
100 Employees Shopping Cart / Time Sheet
15 Employees Inspection Planning & Quality Engineering
15 Employees Product Development
15 Employees Cross Logistic
15 Employees Finance, Accounting
5 Employees Cash Management
15FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
7018654 SAP S/4HANA Enterprise Management for
Professional Use
The S/4HANA On-Premise Licensing ModelExample / Licensing
Solution Capabilities License #
Shopping Cart / Time Sheet S4H EM Productivity Use 100
Inspection Planning & QE S4H EM Functional Use 15
Product Development S4H EM Functional Use 15
Cross Logistic S4H EM Professional Use 15
Finance, Accounting S4H EM Professional Use 15
Cash Management S4H Finance for Cash Management ?
Cash
Mgmt
Central
Finance…
7018654 SAP S/4HANA Enterprise
Management for Functional Use
7018653 SAP S/4HANA
Enterprise Management for
Productivity Use
16FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The S/4HANA On-Premise Licensing ModelExample / Price List for SAP S/4HANA Finance for cash management
17FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The S/4HANA On-Premise Licensing ModelExample / Licensing
Solution Capabilities License #
Shopping Cart / Time Sheet S4H EM Productivity Use 100
Inspection Planning & QE S4H EM Functional Use 15
Product Development S4H EM Functional Use 15
Cross Logistic S4H EM Professional Use 15
Finance, Accounting S4H EM Professional Use 15
Cash Management S4H Finance for Cash Management ?
8 S/4HANA Enterprise Management
Professional Use required. OK!
18FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The S/4HANA On-Premise Licensing ModelExample / Price Calculation
Solution Capabilities License #
Shopping Cart / Time Sheet S4H EM Productivity Use 100
Inspection Planning & QE S4H EM Functional Use 15
Product Development S4H EM Functional Use 15
Cross Logistic S4H EM Professional Use 15
Finance, Accounting S4H EM Professional Use 15
Cash Management S4H Finance for Cash Management ?
100 x 300€ = 30.000€
30 x 1.200€ = 36.000€
30 x 3.500€ = 105.000€
Customer Revenue: 500.000.000€
Units: Blocks of 100.000.000€ 5 Units required
Material: 7018639 SAP S/4HANA Finance for Cash
Management , up to 10 units
Price: 15.000€ per unit 5 x 15.000€ = 75.000€
19FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Customer Request
1000 Employees MSS, ESS
The S/4HANA On-Premise Licensing ModelExample / HCM – Manager Self Service
Until End of Q2 2017
MSS, ESS Professional Use
Since Q3 2017
MSS, ESS Professional UseProfessional Use
SAP ERP HCM
(7019298)
3.500 € x 1000 = 3.500.000 € 150 € x 1000 = 150.000 €
7018652 SAP
S/4HANA
Enterprise
Management
for
Professional
use
7018654 SAP
S/4HANA
Enterprise
Management for
Functional use
7018653 SAP
S/4HANA
Enterprise
Management for
Productivity Use
7018652 SAP
S/4HANA
Enterprise
Management
for
Professional
use
7018654 SAP
S/4HANA
Enterprise
Management for
Functional use
7018653 SAP
S/4HANA
Enterprise
Management for
Productivity Use
7018652 SAP
S/4HANA
Enterprise
Management
for
Professional
use
7018654 SAP
S/4HANA
Enterprise
Management
for
Functional
use
7018653 SAP
S/4HANA
Enterprise
Management for
Productivity Use
HCM
DISCLAIMER
SAP ERP HCM
(7019298) is only
available on
exceptional cases!
SAP strategy is the
cloud solution
SuccessFactors
20FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The S/4HANA On-Premise Licensing ModelExample / BOM
7018653 SAP
S/4HANA Enterprise
Management for
Productivity Use
Solution Capabilities License Metric Units Price p.u. List Price
Shopping Cart / Time Sheet S4H EM Productivity Use User 100 300€ 30.000€
Inspection Planning & QE S4H EM Functional Use User 15 1.200€ 18.000€
Product Development S4H EM Functional Use User 15 1.200€ 18.000€
Cross Logistic S4H EM Professional Use User 15 3.500€ 52.500€
Finance, Accounting S4H EM Professional Use User 15 3.500€ 52.500€
Cash Management S4H Finance for Cash Management Revenue 5 15.000€ 75.000€
Manager Self Service SAP ERP HCM (7019298) User 1000 150€ 150.000€
SUM 396.000€
HANA Database HANA Runtime 15% 59.400€
SUM 455.400€
21FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
The S/4HANA On-Premise Licensing ModelExample / Use Rights
Empl. Solution Capabilities License
100 Shopping Cart / Time Sheet S4H EM Productivity Use
15 Inspection Planning & QE S4H EM Functional Use
15 Product Development S4H EM Functional Use
15 Cross Logistic S4H EM Professional Use
15 Finance, Accounting S4H EM Professional Use
5 Cash ManagementS4H Finance for Cash
Management
1000 Manager Self Service SAP ERP HCM (7019298)
7018654 SAP S/4HANA Enterprise Management for
Professional Use
Cash
Mgmt
Central
Finance…
7018654 SAP S/4HANA Enterprise
Management for Functional Use
7018653 SAP S/4HANA
Enterprise Management for
Productivity UseSAP ERP
HCM
SAP S/4HANA Prerequisites
23FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
• All Details are described in the
feature scope description of
S/4HANA
• Measurement will be done via
Authorization objects
SAP S/4HANA: No surcharge on like for like functionality
ERP Licensing S/4HANA Licensing
ERP Core
ERP LoB &
Industry solutions
SAP S/4HANA
Enterprise
Management
S/4HANA LoB &
Industry solutions
SD-FT
(intrastat)WM
Basic
Credit
Mgmnt
Enh.
Credit
Mgmnt
EWM GTS Enh.
Credit Mgt
Basic
Credit Mgt
EWM
WM
GTS
Intrastat
ER
P
Lic
en
se
Engin
e
Lic
en
se
S/4
HA
NA
En
terp
rise
Ma
na
ge
me
nt
Lic
en
se
Engin
e
Lic
en
se
• Principle of ONE drives us to deliver only ONE solution for ONE business problem
• Even if ERP capabilities are realized in a solution that comes with its own license, we do not charge in case solely the
functional scope is used, that is described as part of the S/4HANA Enterprise Management
24FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
S/4HANA – contract to be signed by customer
Contract for S/4HANA clarifies two elements:– S/4HANA is a new product with a different scope than the SAP Business Suite
– To avoid S/4HANA falling under the 3rd party DB OEM contracts SAP has with other DB vendors, customer has to
confirm that data between any SAP SW on 3rd party DBs and S/4HANA is only exchanged on Application level APIs
(exception: one time data migration)
SAP SW (ERP, CRM, …)
3rd party runtime DB
S/4
SAP HANA Runtime
Application-level APIs
✗Data replication is not permitted
✗
25FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Only SAP S/4HANA solutions are allowed to run on an SAP S/4HANA installation SAP S/4HANA is a new product, not the legal successor of SAP ERP/SAP Business Suite
Limitation in our Software Use Rights (SUR) to separate the commercial worlds:
SAP S/4HANA: Commercial Separation from the ERP World
ERP Licensing S/4HANA Licensing
ERP Core
ERP LoB &
Industry
solutions
SAP S/4HANA
Enterprise
Management
S/4HANA LoB &
Industry
solutions
SAP S/4HANA
Enterprise
Management
ERP LoB &
Industry
solutions
✓ ✓
SAP S/4HANA
Enterprise
Management
ERP Core
functionalityX
X
unless explicitly permitted
via „Compatibility Packs“
Why allow the use of
Compatibility Packs on
SAP S/4HANA?
➢ Allow sufficient time for
redesign of business
processes under S/4HANA
➢ Make transition easier for
installed base customers
26FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
S/4HANA Compatibility Packs
SAP grants a timely restricted(1) use right for specific classic SAP solution functionality(2) to S/4HANA
customers, at no extra cost(3)
(1)restricted until the end of 2025
(2)whitelist: compatibility packs as documented in note 2269324 and in the Software Use Rights (SUR)
(3)condition: customer has licensed SAP S/4HANA and the classic solution
Compatibility Packs are only required for solutions which are installed on the SAP S/4HANA instance –
not for side-by-side installations.
SAP aims to replace these classic solutions by the end of 2025 with a genuine S/4HANA solution.
Named user licenses are not required for solutions that are in the CP Matrix.
Compatibility Scope
S/4HANA On-
Premise
Scope Classical ERP Scope
+ LoB and Industry
solutions
27FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
S/4HANA On Premise License Model for Existing and Net New Customers
S/4HANA Enterprise Management
[7018652, 7018653, 7018654]
Named Users
Per user fee
Existing ERP customers
HANA
Run-time or Full Use
ERP package
Flat fee (includes 5 Prof. named users)
S/4HANA Enterprise Management
for ERP customers
[7018538]Named Users
Per user fee
S/4HANA Industry & LoB Solutions
Already have and can keep
using
S/4HANA 2016 onward
Already have this
Net New ERP customers
HANA
Run-time or Full Use
User
S/4HANA Industry & LoB Solutions
Flat-Fee
Cash Mgmt. Central Finance …
Revenue
…
Revenue Metric Metric
Cash Mgmt. Central Finance
Revenue Revenue
… …
Metric Metric
S4/HANA Product Conversion
29FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA Enterprise Management for existing ERP Customers
Named
Users
Per user fee
Existing ERP customers
HANA
Run-time or Full Use
ERP package
Flat fee (includes 5 Prof. named users)
S/4HANA Enterprise Management for ERP customers
[7018538]Named
Users
Per user fee
SAP S/4HANA Industry & LoB Solutions
Already have
and keep using
classic License
Model
Already have this
€€ Flat-Fee
Cash Mgmt. Central Finance Real
Estate
Rental
UnitsRevenue Revenue
…
Metric
New S/4 HANA
License Model
Keep the Contract!
Starting Point: Existing classic engines
1:1 Path forward (convert what you have!)
30FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
S/4HANA On Premise: Conversion Policy
S/4HANA Conversion Policy provides a conversion path for classic Engines to S/4HANA Engines:
• 100% conversion credit in 2018, tbd for 2019ff
• Once converted, the customer can run the classical engine as well in a separate installation until Dec 31, 2025.
• The Conversion Grid documents the approved conversion path by listing classical materials which have equivalent SAP
S/4HANA materials.
• Maintenance Base carries forward at 100%, it may never be reduce
• There are no partial conversions, conversions are always 100%Classical engine
SAP Named Users
S4 engine
• No conversion for SAP Named Users
• Named Users for Retail, Banking, Healthcare/Clinical and Industry Named Users convert when the engines convert.
SAP Named User: Replacement of existing maintenance payments with new purchase possible via Extension Policy.
31FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
Conversion Grid
1. Classic Engine – Corresponding S/4 Engine
2. Native HANA Applications
3. Compatibility Packs
4. Commercially Neutral
S4/HANA Contract Conversion
33FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
S/4HANA On Premise License Model for Existing and Net New Customers
S/4HANA Enterprise Management
[7018652, 7018653, 7018654]
How do existing ERP customers move to this model?
HANA
Run-time or Full Use
User
S/4HANA Industry & LoB Solutions
Cash Mgmt. Central Finance
Revenue Revenue
… …
Metric Metric
Starting Point: Target Environment
Pure S/4HANA contract (no NUL anymore)
Simplify and improve landscape / installation
100% credit for prior purchases to be applied to the
new BOM, but total credit limited to 90% of new BOM
34FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
S/4HANA Credit Application Summary
35FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
What can be deployed on an S/4HANA installation?
Challenges
Commercially Neutral
▪ Required Named User Licenses Not required on S/4 anymore
Third Party Database
▪ Business as usual (maintenance payments during transition phase)
HANA Database
S/4HANA Enterprise Management
S/4 Engine Native HANACompatibility
Pack
Commercially
Neutral
ERP
Commercially
Neutral
Third Party Database
ERP
Commercially Neutral
Software Solutions
Database, S/4HANA, S/4 Engines
Native HANA, Compatibility Pack (CP)
Commercially Neutral: SW which is not S4H, Native HANA, CP
36FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA Conversion Program: product or contract conversion
▪ Intended for piece-meal 1:1 conversions to S/4HANA over time.
▪ Can only convert into products with a valid conversion path
▪ Requires line-item mapping – use the S/4HANA conversion grid
to find the corresponding Classic & S/4HANA products
▪ 100% of classic product maintenance base is carried forward
▪ Customer is entitled to 100% credit up to net payable of new
S/4 product
▪ Note: 100% credit is approved during 2018
▪ Intended for full contract “wholesale” conversions
▪ Customer can reconfigure their landscape (“Milkshake
concept”: re-allocate shelf ware and apply credit to new,
unrelated Software licenses)
▪ 100% of current customer maintenance base is carried
forward*
▪ Conversion credit equal to the lesser of 100% of prior
maintenance base or 90% of new net payable
Product Conversion Contract Conversion
Q: How do customers make the commercial move to S/4 HANA?
Customers can achieve the commercial migration in two ways, a) via product-level conversions or via b) a single contract conversion. Both are now
generally available.
Question:
*Some exceptions may apply such as 3rd party DB or HANA Enterprise
SAP S/4HANA Cloud
38FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA Cloud public
▪ Use available with tiered pricing
▪ Memory Extension per Gigabyte
Advanced Use Authorized to use all capabilities of the solution without constraints.
Core Use Authorized to use most capabilities of the solution, except, select advanced applications or cross-LoB capabilities, Finance, Maintenance,
Operations, and IT management functions that are reserved for Advanced use only.
Self-Serve Use Authorized to use highly restricted self service capabilities and lightweight data entry and workflow capabilities.
The capabilities of each of these use packages are described in the S/4HANA Cloud feature specification document found at
https://www.sap.com/about/agreements/policies/service-specifications.html
Cloud Supplemental terms https://www.sap.com/about/agreements.sap-cloud-services-customers.html
Pricing and Software Use Rights definitions are for illustrative purposes – please refer to the local pricing documents
Material Pricelist item Metric Currency 1-100 101 -250 251 – 500 501 – infinite
8005355 SAP S/4HANA Cloud for advanced use User EUR 220 200 180 170
8005356 SAP S/4HANA Cloud for core use User EUR 175 165 155 150
8005357 SAP S/4HANA Cloud for self-serve use User EUR 20 17 15 13
8005358 SAP S/4HANA Cloud in-memory extension GB EUR 100
39FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA Cloud, private option
Currently only available for Cloud Choice Program (CCP). Not for reselling via Value Added Reseller (VAR) model.
SAP S/4HANA Enterprise Management Cloud, private option
Each Full Use Equivalent (FUE) corresponds to a number of individuals authorized to access specified functions of the Cloud Service.
Customer may allocate each Full Use Equivalent User to any one of the Use types, and may change the allocation at any time.
1 FUE User = 0.5 SAP S/4HANA Developer Access
1 FUE User = 1 SAP S/4HANA Enterprise Management Professional Use
1 FUE User = 5 SAP S/4HANA Enterprise Management Functional Use
1 FUE User = 50 SAP S/4HANA Enterprise Management Productivity Use
Pricing and Software Use Rights definitions are for illustrative purposes – please refer to the local pricing documents
40FOR INTERNAL SAP AND PARTNER AND SUGEN USE ONLY © 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ
SAP S/4HANA is a new product!
1500+ S/4HANA live customers S/4HANA is ready, no reason to stay on ECC
SAP S/4HANA Pricing and Licensing
– SAP S/4HANA Cloud
– SAP S/4HANA Cloud, private Option
– SAP S/4HANA On Premise
Strategy SAP S/4HANA and ONLY the SAP S/4HANA version of any engine. There is only one exception: The engine
is part of the Compatibility Pack.
Existing customer can benefit from SAP Conversion Policies!
• Product Conversion offers a 100% credit
• Contract Conversion cleans customers landscape and contract
Key Takeaways
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