Two-Tier ERP for SAP ERP Cloud solution - A catalyst for Industry 4.Now

When a company implements different ERP systems for different parts of the organization, the industry calls this a Two-Tier ERP strategy. This strategy is driven by the realization that the needs of large, complex organizations are very different than the needs of smaller, simpler organizations. A smaller organization, typically a subsidiary, can be much more effective when it runs an ERP solution that fits its needs, and is not burdened by the overly complex solution needed by its larger sister organizations. As companies look to strengthen their Industry 4.0 strategy, they want more effective subsidiaries while still maintaining a high level of collaboration and coordination across the entire organization. Various Two-Tier deployment options shown below can support the customer in their journey towards Industry 4.0.

To understand how Two-Tier ERP complements Industry 4.0, please take a look at the whitepaper Two-Tier ERP for SAP S/4HANA Cloud - The catalyst for Industry 4.0. The blog post on our community linked below summarizes the concepts from the whitepaper. 

Two-Tier ERP for SAP ERP Cloud solution as the key change driver for Industry 4.0

Our ERP cloud solution is becoming the central change driver to help intelligent enterprises setup their connected digital core on the cloud. This opens great opportunities for mainstream businesses looking to harmonize their business processes and prepare for their journey into Industry 4.0.

Customers who currently have most of their manufacturing and operational processes installed on-premises are able to increase operational efficiencies, customer satisfaction and lower process costs due to automation of process steps by leveraging the capabilities of Two-Tier ERP to move them closer to their vision of Industry 4.0.

“Two-Tier ERP setup is vital for strategic goals and growth targets for organizations” -  IDC Manufacturing survey.

For customers who are looking for an upgrade path or want to explore offerings in the cloud, Two-Tier ERP offers an option where they get to keep their on-premise setup intact and deploy key functions and processes into the cloud. This gives them a big head start on their cloud journey and makes their potential move into the cloud more seamless.

This evolution is spearheaded by our Two-Tier ERP which puts many Industry 4.0 use cases in the grasp of companies and businesses today. Key use cases include:

• End to end integration between the planning system and the execution system
• Full visibility of predictive maintenance schedules with connected assets
• Harmonized project control and tracking with our ERP Cloud for projects

As we get comfortable talking about this change in paradigm and move closer to a truly connected, integrated and intelligent enterprise, we at SAP are ensuring you to have the best processes and guidance to make this journey a smooth and successful one.

Read more and find further details here as part of the Value of SAP S/4HANA Cloud blog series on our community.

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