SAP says GenAI will help solve legacy migration skills shortage
- Reference: 1733828465
- News link: https://www.theregister.co.uk/2024/12/10/sap_says_genai_will_help/
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Speaking to The Register , David Robinson, SAP president and chief revenue officer for cloud ERP, said fears of a skills crisis in the SAP user world could be alleviated as third-party SIs take advantage of the LLMs and other forms of machine learning to accelerate migrations.
Mainstream support for legacy SAP ERP platform ECC expires on December 31, 2027, after which more limited "extended support" will be available. Only ECC instances on "Enhancement Pack" EHP6 and later will qualify for the extension; the [1]remainder will see support end at the close of 2025 .
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[3]Gartner figures from the second quarter of 2024 showed only 37 percent of ECC customers had licensed S/4HANA — SAP's current recommended ERP platform, which was launched in 2015, compared with 34 percent in the same quarter last year. Gartner said there was little evidence that migrations to S/4HANA were taking place at the rate needed to meet the support deadline.
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The cliff-edge timetable has provoked [6]concern from users and third parties. The risk from their point of view is that while potentially thousands of user organizations struggle to get off ECC at the same time, systems integrators may not be able to hire enough experienced people to meet demand.
Robinson told us that by using GenAI systems, integrators could help mitigate the risks.
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"I think about supply and demand. This topic does come up often. It is definitely something that's on the minds of our customers," he said.
The SAP president reckons the problem could be broken down into business process expertise and technical know-how – and genAI could help with both. "There is the ability to look at documents and plan for current state business process, and how that maps to a future state business process. What are best-in-class, standardized business processes, and then what customers want to do to maybe adapt those to differentiate themselves, or if they have unique requirements, the ability to know how to manage that and document it," he said.
"I see GenAI specifically in the hands of our partners — longstanding global systems integrators — helping reduce the time and cost associated with documenting what the current process looks like, assessing the delta between the as-is and the to-be around a business process. That can be reduced by between 50 and 80 percent in terms of time and cost, because a lot of the time and cost there is associated with just the data gathering and the process of documenting it. There are fewer resources necessary to get the same outcome, and to some degree, the outcomes might even be better," he said.
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Secondly, SaaS tools can help reduce the IT resources required for application migration projects, Robinson said.
"I see more and more of SaaS capabilities taking out the cost and complexity of preparing systems or de-conflicting stacks, and trying to understand whether you have the right types of memory and the right geography and all of that infrastructure, architectural planning and risk mitigation," he said.
Robinson also said SAP had "engineered out" much of the complexity of on-prem architectures. "We've abstracted away all of the underlying infrastructure, architectural analysis and management. [Customers are no longer] required to maintain an entire area of expertise around infrastructure and capacity planning at a very tedious technical level," he said.
Earlier this month, the UK and Ireland SAP User Group chair said organizations on SAP's legacy on-prem ERP systems would be wise to upgrade their software before they move to the cloud, eschewing the vendor's preferred method as a first step. Conor Riordan said users were cautious about migrating ECC to the cloud and the latest S/4HANA ERP system at the same time, preferring instead to upgrade on-prem, and only then move to the cloud.
In January 2021, the enterprise software giant launched RISE with SAP to lift and shift complex SAP environments into public, private, and hybrid clouds to help customers get to a new architecture working with one hand to shake, facilitating partnership deals with cloud hyperscalers, systems integrators, and other third parties.
SAP's Robinson told The Register it stood by its recommendation to move to the cloud and upgrade at the same time, despite users' concerns about the risks.
"Certainly, fewer hops are better, so fewer hops are preferred. It's usually more valuable. It helps keep the business closer to the IT process, and it usually is more cost-efficient and has a better business case," he said.
One of the challenges with upgrading ECC is many users have customized the system to their business process, sometimes over decades, sometimes keeping scant records of the system's development.
[9]SAP legacy ERP users wise to ignore offer of single leap to the cloud
[10]Mega supermarket spots stock discrepancy of tens of millions amid ERP system migration
[11]MongoDB promises to keep its hands off application building
[12]AWS gives older EC2 instances a legacy lifeline
Robinson said new tooling and methods were improving insight into an existing ECC estate and reducing risks. "In the past, that's all been a big black box of unknowns in the absence of clarity about the ECC environment and the implications of unwinding some of those customizations. We've now opened up that box, and we're providing more clarity and confidence through tooling and documented methodologies," he said.
Working with partners to better understand their ECC estate, customers were becoming more confident about the trade-offs and risks associated with the migration options, Robinson said.
But there is still a long way to go. Given the number of ECC users still setting out on their migration, the next couple of years will test SAP's application of GenAI for the purpose of migrating and re-platforming enterprise business applications. ®
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[1] https://www.theregister.com/2023/10/10/sap_ecc_support_end/
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/databases&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2Z1hzu-8-7pcEO11KTVWwrAAAAJc&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[3] https://www.theregister.com/2024/09/16/gartner_finds_rise_with_sap/
[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/databases&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Z1hzu-8-7pcEO11KTVWwrAAAAJc&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/databases&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Z1hzu-8-7pcEO11KTVWwrAAAAJc&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[6] https://www.theregister.com/2024/04/15/american_s4hana_migrations_ramp_up/
[7] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/databases&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Z1hzu-8-7pcEO11KTVWwrAAAAJc&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[8] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_software/databases&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Z1hzu-8-7pcEO11KTVWwrAAAAJc&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[9] https://www.theregister.com/2024/12/04/sap_legacy_erp_cloud/
[10] https://www.theregister.com/2024/10/03/asda_21m_discrepancy_erp/
[11] https://www.theregister.com/2023/10/03/mongodb_cto_interview_on_applications/
[12] https://www.theregister.com/2022/11/22/aws_ec2_nitro_legacy_systems/
[13] https://whitepapers.theregister.com/
Re: Curious timing
This is how human civilisation ends. Not with an 'I, Robot' style GenAI taking over control 'for humankind's benefit', but with AI's effectively controlling everything and comprehensively screwing it up. No human will be able to understand the coding mess and get the computers up and running and doing 'useful' things, and the GenAIs that actually run things will be too stupid to get that we are starving because the computer controlled factories are filling their quotas but not producing or distributing any actual food to us.
If Earth is ever visited by aliens in the dim and distant future, they will uncover a world where all the robots are working perfectly servicing a biosphere that no longer exists.
Happy Christmas everybody!
If I was a SAP customer…
I would feel extremely annoyed with getting a SciFi solution for a real world problem.
Re: If I was a SAP customer…
checks date... Three years until end of support. When, in three years time, you were (for whatever reaso^H^H^H^H^Hexcuses) unable to hire and train someone to do the upcoming migration properly, you forfeited all rights to complain.
This is nonsense
See title.
Maybe wishful thinking and Crayon Dept.
Perhaps someone expert, not in employ of a large Corp, would like to point at a real working example of GenAI and explain why it's Gen AI?
Skills shortages?!
I swear if i hear ONE more exec going on about IT skills shortages in this country I'm going to scream. Every job advert out there is fake & people are having a nightmare finding anything. Rates & wages are stuck at 2010 levels, even for so called "shortage areas" like cybersecurity...
Gen AI is decades away and the LLM crap we have now will not do anything like what the grifters are saying it will
Re: Skills shortages?!
Hang on... didn't all of these companies fire a load of people and they're now wondering why there's a shortage of workers?
fears of a skills crisis in the SAP user world could be alleviated
In my experience, SAP consultants tend to retire early, because it's very well paid, but also hellishly complex and stress inducing. They are also highly intelligent with years of domain specific knowledge and experience which enables them to do the job. If this dumbass thinks statistical text generators can "do" that job, he needs to explain exactly how, with fully detailed examples of it happening successfully, otherwise he should be one of the first over-remunerated execs fired for jumping on the hype bandwagon without a clue.
Re: fears of a skills crisis in the SAP user world could be alleviated
^ This.
Start now and you will make it.
Start in 2027 and you will make it ... onto the Register.
So now Gen AI is the solution
That is a dangerous line to toe.
After all, if Gen Ai can solve SAP migration problems, maybe Gen AI can solve SAP and get rid of it.
Robinson also said SAP had "engineered out" much of the complexity of on-prem architectures. "We've abstracted away all of the underlying infrastructure, architectural analysis and management. [Customers are no longer] required to maintain an entire area of expertise around infrastructure and capacity planning at a very tedious technical level," he said.
I think he means ‘wish we had engineered out’ and ‘a very essential technical level’
No...
No it won't...
Curious timing
This story was filed mere minutes after one which shows how useful AI is actually going to be...https://www.theregister.com/2024/12/10/ai_slop_bug_reports/
The referenced story hangs on AI being really bad at working out what code is supposed to be doing and anyone who has done a migration will know that the 80% of 'simple' stuff is not the issue but it is the edge cases with data/functions that have been adbused/mis-used where the migration stands or falls. If human fuzzy logic fails then AI has no chance