When SAP S/4HANA was first introduced, embarking on the journey felt like a leap into the future for many businesses, with early adopters charting new territories. However, many others were reluctant to make the shift. To ease this challenge, SAP provided Compatibility Packs that allowed familiar SAP ECC functionalities to run within the new SAP S/4HANA environment. It was a pragmatic bridge, a way to move forward without completely abandoning the past in one go.
But every bridge has an endpoint, and this one leads to a firm deadline. For most SAP S/4HANA users, the legal permission to use these Compatibility Packs ends on December 31, 2025. Organizations leveraging RISE with SAP will get a longer runway until December 31, 2030.
According to Jon Gregory, Director—Business Development & Advisory Services, NTT DATA Business Solutions UK, this isn’t merely an end-of-support advisory but a legal mandate. Organizations that continue to use these packs after the deadline could be stepping outside their license agreement, a precarious position for any enterprise.
The True Cost of Clinging to the Past
Relying on these legacy components creates a drag on the SAP S/4HANA investment:
- Technical Debt: Running an older system inside a new one complicates maintenance, updates, and future enhancements.
- Missed Opportunities: Compatibility Packs often prevent organizations from fully harnessing SAP S/4HANA’s benefits, such as real-time analytics, simplified data models, and intelligent processes.
- Integration Headaches: As organizations adopt new cloud services or SAP S/4HANA features, integrating them with legacy “islands” becomes complex and fragile.
- Stifled Innovation: True transformation requires embracing the new paradigm, and Compatibility packets still run many functions on older code, which creates barriers to innovation.
From Fog to Focus
So, how do organizations know if these hidden handcuffs are lurking in their system? These three steps are essential to understand if the existing system is holding the business back:
- Interrogate early watch reports: These SAP-provided reports are the initial breadcrumbs, often highlighting deployed Compatibility Packs.
- Dig deeper with usage analysis: Organizations cannot stop deploying the Compatibility Packs. They need to understand if these packs are being used, by whom, and how critical they are. This requires a thorough analysis of application usage.
- Build a Roadmap: Once an organization identifies active, critical packs, it should explore modern SAP S/4HANA alternatives, plan the transition, and build a realistic timeline.
These tasks require a blend of technical acumen, business process understanding, and strategic foresight, and experienced partners are invaluable in this area.
NTT DATA Business Solutions, for example, focuses on guiding businesses through this specific challenge. Its approach involves identifying the packs and offering a complimentary risk identification service for new customers, validating usage, discussing business implications, and co-developing a strategic roadmap to ensure a smooth transition before the deadline. NTT DATA Business Solutions acts as a navigator, helping organizations avoid the rocks and reach the destination of a compliant and optimized SAP S/4HANA landscape.
The clock is indeed ticking. However, by understanding the challenge, embracing the opportunity, and leveraging the proper support, organizations can ensure their SAP S/4HANA system is compliant and a powerful engine driving their business forward.
What This Means for ERP Insiders
Navigating the SAP S/4HANA landscape requires a specific mindset, especially with deadlines like this. Here’s what every ERP professional should remember:
Think transformation, not just transition. The Compatibility Pack deadline isn’t a chore; it’s an opportunity. Organizations should view it as the catalyst to finally shed legacy constraints and fully embrace the native power and innovation SAP S/4HANA offers. The business’s journey shouldn’t just be about meeting a deadline but about achieving a more agile, intelligent, and future-proof enterprise.
Continuous visibility is king. Don’t wait for deadlines to understand what’s under the hood of your ERP. An organization’s SAP S/4HANA journey should involve regular health checks and proactive housekeeping. ERP professionals must understand their usage patterns, monitor their technical debt, and stay ahead of the curve. This proactive stance turns potential crises into manageable projects.
Strategic partnerships accelerate success. Organizations don’t have to navigate this complex terrain alone. Their SAP S/4HANA journey benefits immensely from partners who bring deep expertise, proven methodologies, and a commitment to the business’s long-term success. A partner like NTT DATA Business Solutions co-pilots the implementation, helping organizations plan the route, manage turbulence, and ensure the business lands smoothly, achieving its compliance goals and strategic business objectives.
