SAP S/4HANA, a modern ERP suite from SAP can be deployed either on-premises or in the cloud (SAP S/4HANA cloud). Analytics is one of the key components for any modern organization, and those implementing SAP S/4HANA face multiple architectural options. There is certain specifics for analytics on top of the SAP S/4HANA cloud. This article reviews analytics options for SAP S/4HANA on-premises only.
Source: SAP
When talking about the SAP Analytics offering, it is important to know that the “enterprise analytics” used in strategic reporting and planning are not competing with the “embedded analytics” of SAP S/4HANA used in operational reporting. Both offerings address different use cases and complement each other very well.
Embedded Analytics: What is Available Out of the Box?
SAP S/4HANA Embedded analytics comes with a lot of predefined analytics apps based on Fiori and on SAP Analytics Cloud. For creating own KPIs, reports, dashboards SAP S/4HANA provides tools for the role of the “Analytics Specialist”. The analytical models are implemented in the SAP S/4HANA Virtual Data Models via CDS views. The virtual models provide real-time access to the transactional and master data, and therefore need no data replication. Obviously, Embedded Analytics works only on the data that is currently available in the SAP S/4HANA system.
There are over 42K CDS views available in SAP S4/HANA out of the box. It is recommended to leverage those prior to developing anything new.
Where can we see all apps and CDS views available in S4 Embedded Analytics?
Reporting Options: Strategic vs. Operational
Analytic applications can be delivered via the following popular SAP Analytics front-ends:
1. SAP Fiori apps (S4 operational reports)
2. SAP Analytics Cloud (SAC) – from operational to strategic
3. SAP Analysis for Office (AFO) - usually to be used in operational and tactical reporting.
In which Cases do we Need SAP BW?
There are plenty of use cases for having an Enterprise Data Warehousing Platform (EDW) in large organizations. SAP BW/4HANA is usually the most suitable EDW platform for SAP-oriented organizations or those targeting to implement SAP S/4HANA ERP. The following table summarizes some of the use cases for choosing the right platform for analytics:
Exposing SAP S/4HANA Data, CDS Views
ABAP Core Data Services (CDS) Views allow the creation of complex views which exceed the capabilities of database views. CDS views can be used for operational reporting/analytics, as well as for data extractions out of SAP S/4HANA.
Besides their role in the ABAP Programming Language, CDS Views are the technology behind the virtual data model of SAP S/4HANA Analytics. With CDS views data models are defined and consumed on the database server rather than on the application server.
In the SAP S/4HANA system, CDS-based extraction is handled by the Operational Data Provisioning (ODP) framework, the context is called ODP – ABAP CDS Views (ODP_CDS).
ABAP CDS views can also be used within an SAP BW/4HANA context for data extraction:
- Scenario 1: Direct access to a CDS view from BW (Using Open ODS Views)
- Scenario 2: Delta extraction from a CDS view to BW
Source: SAP
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How to Handle Data from Legacy ERP and Data Warehouses
It is common that legacy applications, ERP systems, and data warehouses coexist together with the SAP Analytics landscape for a long period of time. In such scenarios, it is important to address topics of data harmonization, source of truth, data latency, and performance of analytics applications. For this purpose data integration within the SAP landscape may be necessary, which may involve master data mapping, history loads, and an overall effort related to data governance. Data integration from legacy/ non-SAP sources may be either virtual or persistent using SAP BW/4HANA and/or SDWC.
EPM Options on Top of SAP S/4HANA
There are multiple options available for SAP S/4HANA in terms of Enterprise Performance Management (EPM). EPM generally includes business planning and consolidation applications. SAP BPC Optimized for S4/HANA is one of the options to consider for business planning. SAP S4/HANA Group reporting is an option for financial results consolidation.
However, in cases when SAP BW/4HANA is used as a main data warehousing platform containing data from more than just SAP S/4HANA ERP the approach can be different. SAP BPC on top of SAP BW4 can be considered for both planning and consolidation. And in some cases, SAC Planning can be configured for specific business planning scenarios without involving SAP BPC.
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Non-SAP Analytics Options: Power BI, Tableau, Anaplan
Some organizations consider using non-SAP BI tools on top of SAP S/4HANA or SAP BW/4HANA. It can be due to enhanced in-house expertise in specific technologies, costs, user preferences, capabilities, vendor relationships, etc. Even though SAP can technically connect to most non-SAP tools, one has to keep in mind the challenges and limitations associated with this approach.
For non-SAP BI frontends data integration may require a substantial effort. Specific SAP functionality that may be essential for positive user experience usually is not directly supported by other vendors. This may include master data hierarchies, BW query structures, currency conversion, customer exit input variables, units of measure, end-user language settings, authorizations, etc. With non-SAP EPM tools usually the only possible connectivity is to design import/export interfaces for actuals and plan/forecast datasets. This may work in certain business planning scenarios, however, very likely will be complex and not super agile.
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Possible Analytics Architecture
Below is an example of a possible system landscape to address the analytical needs of an organization implementing SAP S/4HANA on-premises. SAP BW/4HANA box together with SAP BPC embedded cover both reporting and planning requirements, as well as activities related to financial consolidation. With SAP BW/4HANA both operational and strategic reporting needs are addressed, involving datasets from non-SAP sources, harmonized views, and historical data.
At the same time, operational analytics is available via standard SAP analytics frontends. SAP S/4HANA data is exposed via CDS views to either Fiori apps, SAP Analytics Cloud (SAC) applications, or AFO workbooks.
Final Words
When an organization starts an SAP S/4HANA journey business analytics requirements may not be clear and technical options for analytics may vary. An overall approach should consider SAP S/4HANA embedded analytics for operational reporting, SAP BW/4HANA as an enterprise data warehousing platform together with SAP BPC for EPM applications. And on top SAP Analytics Cloud (SAC) together with MS Analysis for Office (AFO) can serve as powerful end-user frontends providing insights to both operational and strategic reports, as well as EPM applications.
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