From cloud to on-premise: SAP offers these options for switching to S/4HANA

SAP provides S/4HANA to its customers with five implementation options:

  • SAP S/4HANA Cloud: This entry-level model into the SAP world can only be imported as a completely new installation. Transferring the old company data is only possible to a very limited extent. The functional scope of this installation is also highly standardized and can hardly be expanded. SAP S/4HANA Cloud is suitable for new customers, small companies and users who need very fast value creation.
  • SAP S/4HANA Cloud Extended Edition: With this model, SAP provides its customers with somewhat more flexibility, functionality and control options than with the simple Cloud Edition. However, the Extended Edition can also only be installed as a new installation and requires a minimum number of users, so it is primarily suitable for medium-sized and large companies as new customers.
  • SAP S/4HANA Cloud Private Edition: In addition to the somewhat better options for flexibility in updates and the configurability of the system, the Private Cloud differs from the Extended Edition mainly in that here you can choose between new implementation, system conversion or selective data transfer during installation.
  • SAP S/4HANA On-Premise Managed by SAP (HEC): With this complete on-premise installation, the infrastructure is managed by SAP. However, you have full flexibility in the choice of hardware.
  • SAP S/4HANA On-Premise: This is the classic on-premise installation, where the hardware is managed in the company's own data center or by a third-party provider.

Overview: SAP S/4HANA implementation options in comparison


Subscription as software



SAP S/4HANA CloudSAP S/4HANA Cloud extended editionSAP S/4HANA Cloud, private editionSAP S/4HANA On-Premise managed by SAP (HEC)SAP S/4HANA On-Premise

License Model

Software-as-a-Service (SaaS) subscription
Subscription as softwareTraditional licenses and infrastructure subscriptiontraditional licenses
IT-InfrastructurePublic cloud hosted by SAPDedicated landscape on a cloud infrastructure operated by SAPDedicated landscape on a cloud infrastructure operated by SAPCustom landscape on SAP HANA Enterprise Cloud (HEC)Customer data centre or hyperscaler
Upgrade optionsFixed and mandatory by SAP (both configuration and software)Mandatory every 2 years SAP and customer manage upgrade process and perform regression testingannually, but Client chooses own speed Customer manages upgrade process itselfannually, but Client chooses own speed Customer manages upgrade process itselfannually, but Client chooses own speed Customer manages upgrade process itself
Scope of the software suiteCore ERP plus certain industries and 42 countrieslike on-premise Restrictions on third-party add-onslike on-premise restrictions on third-party add-onsfull (64 countries, 39 languages, 25 industries) plus third-party add-onsfull (64 countries, 39 languages, 25 industries)plus third-party add-ons
Extension options of the software suitelimited possibleIn-app extension including key-user extension and some classic ABAP extensions
No modifications possible

In-app extensibility, including main user and classic ABAP extensibility.
Modifications possible, but not recommended

Adaptation, modification and expandability possible as with ERPAdaptation, modification and expandability possible as with ERP
User interfaceFiori-LaunchpadFiori / GUIFiori / GUIFiori / GUIFiori / GUI
Models of implementationNew implementationNew implementationNew implementation 
System conversion
Selective data transfer

New implementation 
System conversion
Selective data transfer

New implementation 
System conversion
Selective data transfer


Comparison of the installation models:

  • Which licence model suits us best from a business point of view, taking into account existing licences?
  • What technical capacities do we have for operating the software?
  • Do we use the move to a cloud installation?
  • What resources do we have to operate the software (currently/future)?
  • What range of functions do we need?
  • What configuration and expansion options do we need?
  • Can business processes be converted with the new system and can modification or extensions be dispensed with as a result, for example?

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