SAP aims to be a standardized business software that integrates all business processes and enables data processing in real time. To do so, SAP has built out a business app portfolio alongside a technology platform to address the information processing needs of enterprises today. Most recently, it has woven in agentic and generative AI capabilities into its offerings, as well as supporting data-related capabilities.
It’s critical for many enterprises to use SAP effectively; our research team has assessed and rated SAP’s performance across dozens of software categories including ERP, CRM, Supply Chain, AI and platforms. However, the challenges and complexity of bringing together so many business processes are also heightened. ISG brings our independent advisory services, implementation support and research to help you navigate SAP adoption, migration, optimization and value realization.
average savings from ISG support on ERP transformations and software advisory.
average rate of return on investment. For every dollar you spend with us, you get 17x value back.
Systems Integrator Selection & Contracting
For selecting and contracting with a service provider and/or systems integrator to support the implementation, migration or adoption of SAP, we help you meet your sourcing goals.
Support Model Selection & Contracting
Choose and contract with the right application maintenance services (AMS) provider to support ongoing operations and design the related operating model for your SAP transformation.
Software Selection & Negotiations
Ensure the right portfolio of software of SAP and third-party providers are selected with the right license models and bill of materials to ensure the best investment value.
Implementation, Transformation & Upgrades
Move to SAP or upgrade your SAP offerings with a structured and holistic approach, from process changes through change management to value realization and governance.
Audit Defense, Research and Strategy
Be proactive about cost savings by preparing for software audits and understanding the latest best practices for SAP. Plan for when and how to adopt the latest capabilities.
Organizational Change Management & Training
Address the people side of SAP change – from transaction and transition through steady state. Your team’s adoption of SAP generates 73% of the expected project value.
Bill of Materials and Optimization
Don’t pay for more than you’re using – optimize your bill of materials to match your team’s needs and empower best-practice usage of SAP, including agentic AI adoption.
Process Management
ISG identifies process improvement opportunities as part of your SAP transformation. We know the best practice processes for SAP, and we can audit your processes and then help you bridge the gap.
Strategy Realization Office
A structured approach to ensure risk mitigation, governance and business value realization with an integrated set of key outcomes and executive-level reporting.
SAP is a powerful enterprise software suite designed to help organizations manage their core business functions in a unified and efficient way. From finance and supply chain to human resources and customer service, SAP provides a centralized platform that enables real-time data access, process automation, and strategic decision-making.
To truly optimize your investment in SAP, companies must approach implementation and ongoing management strategically. First, it’s essential to align SAP initiatives with broader business goals. Whether the focus is on digital transformation, operational efficiency, or customer experience, SAP should be a tool that directly supports these objectives. Engaging business leaders early in the process helps define clear KPIs and ensures that the system is built to deliver measurable value.
Next, companies should take advantage of SAP’s best practices and pre-configured templates. These reduce the need for heavy customization, which can be costly and complex to maintain. By sticking closer to standard processes, organizations can accelerate deployment and simplify future upgrades.
Organizational Change Management (OCM) is another critical success factor. SAP systems often represent a significant shift in how employees work, so investing in training and user adoption is key. Tools like SAP Fiori, which offer a modern and intuitive user interface, can greatly enhance the user experience and encourage engagement. Also, taking advantage of new capabilities around Business Process Optimization through SAP Signavio can provide incredible insights into the effectiveness and efficiency of existing business processes and suggest improvements to provide real cost savings through increased efficiency.
Licensing optimization is also important. Companies should regularly audit their SAP licenses to ensure they’re not overpaying or underutilizing their entitlements. Additionally, leveraging platforms like SAP Business Technology Platform (BTP) allows for innovation and extension of SAP capabilities without disrupting the core system.
To modernize in the AI era, organizations should evaluate SAP's generative AI copilot, Joule, along with the SAP AI Foundation and SAP Business Data Cloud to determine their path forward. A strong data foundation—clean, well-governed, and integrated—can leverage SAP Analytics Cloud for deeper insights and predictive decision-making.
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Learn MoreSAP Business Data Cloud (BDC) is the unification of capabilities that previously existed in two separate offerings: SAP Datasphere and SAP Analytics Cloud. As its name implies, Analytics Cloud was SAP’s analytics offering. However, unlike many of its competitors, it also included planning capabilities. SAP Datasphere was the evolution of SAP’s data warehouse as a service (formerly called SAP Data Warehouse Cloud) and included data management, data integration, data federation, data governance and data catalog capabilities.
Our 2025 research divides the workforce-management landscape into five focused guides—WFM Basics, WFM Suites, WFM for Healthcare, WFM for Manufacturing and WFM for Retail. Each report applies a common evaluation lens yet weights criteria to reflect the operational realities, compliance pressures and innovation priorities unique to its scope. Together, they provide a panoramic view of the market and a set of targeted benchmarks that let buyers zero in on the capabilities—and partners—best aligned to their context.
As enterprises navigate their digital transformation journeys, several key trends are shaping the adoption and utilization of SAP solutions. Many businesses face difficulties constructing a robust business case for migrating from SAP ERP to SAP S/4HANA. Understanding the TCO for the initial years remains a significant hurdle, with organizations seeking more clarity and frameworks to evaluate potential returns and justify the transition investment effectively. While pressure exists to migrate to SAP S/4HANA, firms are taking a cautious approach globally to ensure business continuity and pace the timing of the migration to minimize impact.
The 2025 SAP Ecosystem study for the U.S. observes that enterprise clients, like the previous year, continue to have a cautious and risk-averse approach to planning their migration from ECC 6.0 to SAP S/4HANA cloud. External factors such as economic headwinds and tariff conflict and technical factors such as limited reference business use cases, uncertain ROI, legacy systems to support technology such as generative AI (GenAI), longer implementation duration and data migration challenges have made the transition to SAP S/4HANA even more complex. Enterprises in the U.S. are reassessing their strategies for transformation to SAP S/4HANA. They are increasingly focused on an approach that guarantees minimal business disruption and cost-effective solutions. These enterprises are seeking service partners that can offer strong consulting capabilities for a seamless transformation road map. Clients in the U.S. want to assess the risks and implications of accepting SAP’s subscription terms and the future expansion of their ERP systems, leading to an increase in demand for robust risk management and change management tools and solutions.
Embracing a cloud-based ERP application may be the single most important move you can make to springboard your organization into true digital transformation.
