For some organisations, a switch to S/4HANA also means switching to a cloud ERP. For others, it is the moment to re-evaluate where they want to run their ERP. Today, there are multiple options with different levels of service, control, flexibility and support. In addition, the cost models and the number of parties with whom you enter into contracts will differ. We list the most common structures below.
Licence model
As far as licences are concerned, there are two options: a purchased licence (perpetual or on-premises) or a subscription model:
- Purchased licence (perpetual licence)
A perpetual licence gives you the right to use SAP indefinitely. You agree on the scope of use and the features you expect to use. If you exceed this scope, you will have to pay additional costs. With this licence model, you invest in the purchase of the software upfront (CAPEX). For hosting, maintenance and support, you then have a separate contract with a specialist (administration) third party such as Ctac. - Subscription model
A subscription model gives you the right to use the SAP software for a certain period. This may be a monthly arrangement, but more often the term is a year or three years. You pay a monthly fee for using it (OPEX). Hosting, maintenance and technical support are included in the price, so you don’t need any other contracts and have just one point of contact. Another advantage is that you need fewer experts in house. What’s more, your initial costs are lower than with a purchased licence.
Ctac Cloud, Hyperscaler by Ctac or RISE with SAP
As well as for the licensing models, there are differences between the cloud (hosting) solutions. Who, for example, will carry out the implementation or conversion? Who will manage the cloud environment? Who is responsible for governance and security? And who will you contact for service and support? Here are three common structures:
- RISE with SAP
RISE with SAP is a new “transformation-as-a-service” offer from SAP. You can choose between a Public Cloud or a Private Cloud Edition. Both are supplied in their entirety by SAP.
Ctac assumes the role of business and integration consultant in this structure. We help you to implement SAP S/4HANA, introduce innovations, integrate with other systems and continuously develop your processes. RISE with SAP works under a subscription model. The SAP updates and other technical management matters are carried out by SAP, and may be done in collaboration with Ctac. - Ctac Private Cloud
Ctac also has its own°private cloud infrastructure. We have powerful servers in five data centres in the Netherlands from where we offer various flexible, secure cloud infrastructure services. Ctac will collaborate with your organisation to carry out the implementation or conversion to SAP S/4HANA. We also carry out the necessary SAP updates and take care of all technical and functional application management matters. With this option, you get the full benefit of Ctac’s knowledge of your business and industry. - Azure or AWS managed by Ctac
If you have multiple applications that work closely together, it may make sense to run your applications and SAP S/4HANA on the public cloud of a popular hyperscaler such as Azure or AWS. Ctac can help you design, build and maintain your IT landscape on Azure and AWS. Ctac can carry out the implementation or conversion and take care of the SAP updates along with the technical and functional application management.
Discover the cloud environment that best suits your organisation
The choice of which cloud infrastructure best suits your organisation depends on your current application landscape and your plans for the future. Our experts will be happy to help you make your choice. Take a look at our cloud services.
