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The SAP over-production problem -How often should you make changes?

SAP over production issues

This is part of our "8 ways to reduce costs in SAP series". You can return to the first article here.

In Part 2 of our series of ways to cut SAP running costs we look at why you should implement a better process to select, govern and manage SAP changes and stop doing stuff you don’t need

The single fastest way to save money with SAP is to stop doing things. Two thirds of your SAP running costs relate to staff and skills and these costs are driven higher by  the impact of every single change request – from specification to deployment, through to the ongoing ‘technical debt’ cost and ultimately an ‘unravelling’ or decommissioning cost.

Have you considered the impact of all those Z programs and other customisations on your S/4 journey?

Recent analysis has shown that up to 50% of custom transactions are unused which means that identifying them as part of your S/4 migration is a huge opportunity to reduce complexity and cost.

Have you considered who signs off purchase orders in your SAP team?

Most people will say that it is either Procurement or a senior stakeholder in the IT organisation with budget authority. 

In reality, the person who can commit the most spend is often the person who hands out or approves transports into your SAP Production system. These are the people who are often giving developers the green light to start development work and burn cost. There is also a huge area of hidden waste around ‘orphaned’ transports where development is initiated but never completed.

You can eliminate waste by implementing a better way of selecting what you do and then governing what you do properly from initiation through to deployment. Now is the time to batten down the hatches and do only what is necessary. It will save you money and it will also make your S/4 journey a smoother one.

If you want help to stop doing things you don’t need to do, come and talk to us about reducing your SAP costs.

Next: How to reduce wait time and down time in your SAP programme team

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