SAP BTP and RISE: How to Integrate and Extend S/4HANA in the Cloud

Extend and integrate SAP S/4HANA in RISE using SAP BTP while preserving a clean core and system stability.

When organizations switch to SAP S/4HANA under RISE with SAP, they not only go through technical changes but also adopt a new operational and governance model. Organizations face such priorities as standardization, predictability, and simplicity in lifecycle management. After years of maintaining the burden of heavy customizations and on-premises systems, it might feel like a deep breath of fresh air. However, standardization introduces a new challenge.

RISE with SAP offers the cloud foundation, but a Clean Core strategy is what ensures seamless updates for the systems. At the same time, many organizations are tied to specific, customized processes that demand non-standard logic, workflows, and integration. Otherwise, it’s complicated to stay competitive in their industries, maintaining a strategic advantage. However, changes in the ABAP core can undermine system stability.

The conflict between standardization and innovation can be resolved, though. You can keep a clean S/4HANA core and introduce the needed integrations, extensions, and customizations.  Here, SAP Business Technology Platform (SAP BTP) stands as a structural necessity and an obligatory architectural layer to meet both needs.

Why SAP BTP Is So Vital To RISE With SAP

Automated system updates managed by SAP are a primary value proposition of RISE. While SAP handles the infrastructure within RISE, it’s the organization that must apply SAP BTP to maintain the core standard and ensure its easy adaptability. The model might create conflicts when you apply traditional customization approaches, for example, in the case of modifying ABAP objects. When custom code is deeply rooted in the core, every upgrade is risky for system operations.

SAP BTP offers an alternative customization approach: you create customizations and integrations outside the core instead of modifying it. The new services and extensions run on SAP BTP and connect with S/4HANA by means of events, messaging services, and APIs. 

These side-by-side extensions have several critical benefits architecturally:

• The system passes core upgrades smoothly, without unpredictable breakdowns.
• Organizations can control custom logic by themselves.
• You can modify extensions as needed with no disruptions to the core system.

Decoupling extensions from the core system is the only way to comply with RISE standards and evolve as an organization in your domain.

Ways of Innovating With SAP BTP Beyond Standard Functionality

There are several categories of scenarios in which the standard SAP ERP scope isn’t enough to meet organizational requirements. You can address these gaps through SAP Business Technology Platform.

Custom logic

Whether your industry imposes specific requirements or your processes demand an individual approach, you will need custom business logic. In this case, SAP specialists utilize SAP BTP application development services, such as Kyma or Cloud Foundry, for cloud-native applications, as well as ABAP Cloud development for core innovations. By aligning these with SAP Fiori, you get the needed level of individualization alongside intuitive design.

Creating an integrated landscape

Modern organizations cannot stay isolated and usually need data exchange with third-party software, partner systems, and cloud platforms. To avoid data fragmentation across all the systems, maintain a smooth collaboration, and preserve the stability of the main SAP system, SAP engineers use SAP Integration Suite, which encompasses Cloud Integration and API Management. 

Advanced data analytics

Working with large data volumes, especially when external sources are involved, requires powerful data management and analytics capacities. Sometimes, standard ERP reporting cannot give you what you want. For these needs, organizations can rely on SAP Datasphere as the strategic solution for data modeling and analytics, gradually replacing SAP Data Intelligence Cloud, which was historically applied for data preparation and orchestration.

Embedding intelligent technologies

Machine learning, AI, and automation technologies are evolving daily and becoming increasingly relevant for businesses. Organizations try to keep ongoing innovation by embedding the new technologies into their processes, and that’s where SAP AI Services, process automation, and workflow management can help. You can improve the efficiency of your operations and forecasting while keeping S/4HANA stable.

Factors You Cannot Ignore

Leveraging SAP BTP, you should not only think about introducing innovation scenarios but also consider new responsibilities that arise.

First, SAP BTP requires proper governance. Uncontrolled customizations and extensions can lead you to a gray zone of “shadow IT” where security, long-term stability, and system compliance are jeopardized.

Second, it’s strategically important to ensure proper governance with clear development standards, version control, and continuous management of all the new extensions. Otherwise, your innovation can turn into uncontrolled chaos, and it would become complicated to pass any audit, which is a nightmare for regulated industries.

Third, you should clearly realize the distribution of responsibility: SAP is in charge of the S/4HANA core, and organizations and their partners are responsible for the custom code they build on the basis of SAP BTP. The Security RACI (Responsible, Accountable, Consulted, Informed) framework clearly defines the roles to avoid any misunderstandings. It’s better to have everything settled before the start.

Last but not least, it’s needed to test any customizations and innovations before introducing them into your SAP landscape. An experienced implementation company can perform penetration testing, security audits, or any other specific tests to make sure your extensions are safe to be connected with S/4HANA.

How It Works in Practice

Order processing automation for a manufacturing company

When an American manufacturing conglomerate wanted to reduce manual effort for processing sales orders and invoices, we built an extension based on SAP BTP to unify sales data and automate those processes. Our team also leveraged AI capabilities for document parsing and data reconciliation. The company’s personnel responsible for customer service got convenient applications to ensure prompt order processing and high customer satisfaction.

Streamlining HR operations with an SAP BTP-based extension for a logistics company

A logistics company was looking for ways to speed up its HR processes, such as the creation, modification, and deletion of driver tasks. LeverX created a side-by-side SAP BTP extension and integrated it with SAP SuccessFactors to facilitate those tasks on a massive scale. 

Improving performance and protecting the system’s core for an apparel corporation

A multinational apparel company faced a classical dilemma: they needed to keep their customized processes, but couldn’t sacrifice the stability of the S/4HANA core. We implemented several extensions on SAP BTP and managed to comply with the Clean Core principles and unique operational demands. As a result, the company was able to navigate maintenance and development tasks in the long run.

Bottom Line

SAP BTP isn’t another nice-to-have add-on from the SAP portfolio. It’s an obligatory standard for companies embracing RISE with SAP and looking for more flexibility than standard processes can ensure. With SAP Business Technology Platform, even global enterprises can maintain a clean core when using SAP S/4HANA and stay ahead of their industry competitors.