SAP ECC Nears Its Sunset
SAP ECC is approaching its sunset. With mainstream support ending in 2027, organizations must decide whether to remain on legacy ERP or transition to SAP S/4HANA. The choice is less about technology replacement and more about business continuity, agility, and growth.
ECC still powers thousands of businesses, but the risks of staying increase every year: higher maintenance costs, limited innovation, and exposure to security vulnerabilities once support lapses. By contrast, S/4HANA offers a platform designed for real-time data, AI-driven insights, and seamless cloud integration.
Adoption Status
- Roughly 35,000 ECC customers remain worldwide. By late 2024, only about 39% had started or completed the move to S/4HANA. That leaves ~17,000 facing a deadline crunch.
- A DSAG (German-speaking SAP User Group) survey found 47% of members still on ECC, with only 11% running S/4HANA Cloud.
- Among 200 executives in mid-to-large companies, 90% had at least initiated migration activities, though completion rates remain uneven.
These numbers show clear momentum, but also highlight a major backlog that will intensify as deadlines approach.
Risks of Delay
- End of Support: After 2027, organizations must pay premium fees for extended maintenance until 2030. After that, security patches and regulatory updates stop.
- Rising Technical Debt: Customizations built on ECC often lock companies into brittle processes that hinder integration.
- Talent Shortage: Skilled ECC resources are retiring; meanwhile, consultants are shifting to S/4HANA. Waiting raises both costs and risks.
Business Benefits of S/4HANA
- Revenue Growth: A Forrester study of 110 customers reported an average 37% increase in revenue enabled by S/4HANA functionality.
- Customer Retention: The same study showed 4.1% lower customer churn, tied to better order visibility and invoicing.
- Productivity Gains: Finance teams close faster, supply chains adapt in real time, and IT spends less time on manual patching.
- One customer reported reducing report processing time from hours to minutes, unlocking faster decision-making and higher employee satisfaction.
Cost and Timeline Realities
Migration costs vary widely. For mid-sized companies, budgets may run in the low millions of dollars. For highly customized global enterprises, migrations can exceed $100 million. Timelines often extend 3–7 years depending on complexity.
Key phases include:
Readiness Assessment – auditing custom code and data.
Design & Simplification – adopting a clean-core strategy.
Implementation – migration, testing, and integration.
Go-Live & Stabilization.
Optimization – deploying analytics, AI, and automation.
A Horváth study found over 60% of projects exceed budget or schedule due to scope creep and underestimated complexity.
ROI Evidence
| Benefit | Value |
|---|---|
| Revenue from new functionality | ~$156M over 3 years for composite org |
| Customer retention | ~$8.4M value from reduced turnover |
| Productivity & efficiency | Millions saved in IT and business teams |
So, in conclusion…
S/4HANA is not a mere upgrade; it is the foundation of digital transformation. Organizations that start early secure skilled resources, spread costs, and begin reaping benefits sooner. Those that wait risk rushed, expensive migrations and competitive disadvantage.
At Synovia Digital, we guide enterprises through readiness, roadmap design, and execution—delivering not only compliance with SAP deadlines but tangible business outcomes.
Sources.
CIO – Nearly half of SAP ECC customers may stick with legacy ERP beyond 2027
🔗 https://www.cio.com/article/4000543/nearly-half-of-sap-ecc-customers-may-stick-with-legacy-erp-beyond-2027.html
CIO – Nearly 25% of SAP ECC customers unsure about their future
🔗 https://www.cio.com/article/3618284/nearly-25-of-sap-ecc-customers-unsure-about-their-future.html
Horváth Partners – Business Transformation Unlocked: Maximizing the Benefits of SAP S/4HANA (Study)
🔗 https://www.horvath-partners.com/en/cxo-news-subscribe/issue-1/2025/horvath-study-business-transformation-unlocked-maximizing-the-benefits-of-sap-s-4hana
The Register – SAP sees little progress in migration to S/4HANA
🔗 https://www.theregister.com/2025/03/20/sap_sees_little_progress_in
Altivate (Forrester TEI Study PDF) – The Total Economic Impact of SAP S/4HANA
🔗 https://www.altivate.com/wp-content/uploads/2020/04/The-Total-Economic-Impact-Of-SAP-S4-HANA.pdf
Altivate Blog – Forrester Study: ROI of SAP S/4HANA
🔗 https://www.altivate.com/blog/forrester-study-roi-of-sap-s-4hana