ConvergentIS Blog

What Is An SAP Clean Core Strategy?

Written by ConvergentIS | Apr 3, 2024 8:35:22 PM

Implementing an SAP clean core strategy empowers your organization to harness the latest release's benefits while minimizing alterations and ensuring cloud-compliant extensions and customizations.

By embracing this strategy, your organization not only ensures the seamless integration of the latest ERP releases but also minimizes the need for extensive alterations, thereby streamlining processes and reducing complexities. Furthermore, with a focus on cloud-compliant extensions and customizations, you can future-proof your ERP ecosystem, ensuring scalability and adaptability as your business evolves.

Benefits of an SAP Clean Core Strategy

Central to the concept of a Clean Core strategy is the standardization of ERP processes and data. This standardization not only fosters consistency and efficiency but also lays the groundwork for embracing industry best practices. However, what sets a clean core approach apart is its recognition of the need for flexibility. While adhering to standardization principles, organizations retain the freedom to tailor solutions to their unique requirements, ensuring that the ERP system remains aligned with the specific needs and objectives of the business.

Embarking on the journey towards a clean core entails more than just optimizing IT efficiency and reducing business risks; it represents a fundamental shift in mindset towards data-driven decision-making and innovation. By improving data quality, organizations can unlock insights that drive sharper decision-making and more effective actions, ultimately leading to improved business outcomes. Moreover, the embrace of innovation becomes seamless with regular upgrades and access to powerful development tools, enabling organizations to stay ahead of the curve and respond swiftly to market changes.

Partnering with experts such as ConvergentIS can prove invaluable. With our comprehensive suite of solutions and services, including advisory, implementation, and migration services, organizations can navigate the complexities of ERP transformation with confidence. ConvergentIS's expertise and support ensure that organizations not only achieve their clean core objectives but also maximize the value of their SAP investment, positioning them for sustained success in the ever-evolving digital landscape.

The Significance of Implementing an SAP Clean Core Strategy 

Less Customization, More Efficiency 

With an ERP clean core strategy, you can reduce software customization by up to 80%. This means smoother operations and fewer resources spent on maintenance, allowing you to allocate more towards innovation.

Automated Processes Across Borders

Streamline your operations with 70% of core business processes automated. Achieve consistency and efficiency across 24 countries with 80% of core processes standardized, paving the way for smoother global operations.

Innovate Rapidly

Enhance agility and scale your capabilities effortlessly. By leveraging innovations directly from standard software releases, you can adapt to market changes swiftly and maintain a competitive edge.

Enhanced Decision-Making

Improve decision-making with better data quality and availability. Break down siloed departments and foster meaningful collaboration using a unified version of truth, leading to more informed and timely decisions.

Operations Efficiency

Shift focus from maintenance to innovation by allocating resources more efficiently. Stay compliant with regulatory changes and enhance security through up-to-date upgrades and the latest innovations.

What is the "Core" of ERP Software?

The "core" of ERP software encompasses six fundamental dimensions. Firstly, it includes the standardized ERP software stack itself. Secondly, it incorporates extensibility, which refers to additional functionalities beyond the standard ERP software. Thirdly, integrations play a crucial role in facilitating communication between various solutions. Processes form another key dimension, representing the actions presented in an end-to-end experience. Additionally, data is central, comprising configuration data, master data, and transactional data. Finally, operations encompass ongoing governance and monitoring activities, completing the core framework of ERP software.

Steps to an SAP Clean Core Strategy

Explore Resources

Access expert advice and tools to understand why a clean core is essential when transitioning to cloud ERP. Utilize the SAP for Me portal for self-service reporting and monitoring of your clean core progress.

Leverage Clean Core Services

Benefit from advisory, implementation, migration, and enablement services tailored to guide your transformation journey with minimal risk.

Analyze and Standardize

Begin your clean core journey by analyzing and standardizing your business processes. Leverage resources such as the SAP Signavio resource center to kickstart your transformation.

Reduce Customization

Modularize your architecture and reduce customization by leveraging the capabilities of the SAP Business Technology Platform. Turn your data into valuable insights to drive business growth.

Stay Informed

Stay updated with insights from analysts, podcasts, and blogs to understand the power and benefits of a clean core strategy. Learn from real-world experiences and industry experts to navigate your transformation journey effectively.

Collaborate with Strategic Partners

Collaborate with SAP's global strategic service partners, who offer deep industry and technology expertise to support you at every stage of your transformation journey.

Prepare for your cloud ERP migration and embrace the future of digital transformation with confidence.

How Does a Clean Core Impact the Operation of Each ERP Dimension?

​​A clean core significantly impacts the operation of each ERP dimension, leading to enhanced performance across the board:

  • Software Stack: With a clean core, the software stack can seamlessly integrate capabilities from the latest release, feature pack stack, support pack stack, and partner solutions that comply with clean core standards, ensuring optimal functionality and compatibility.
  • Extensibility: Clean core enables robust extensibility by supporting upgrade-stable extensions aligned with prescribed extensibility models. These extensions are actively used, well-documented, and adhere to general code quality standards and best practices, facilitating seamless integration and customization.
  • Integrations: Clean core fosters reliable integrations through upgrade-stable interfaces, comprehensive monitoring, and error resolution capabilities. Actively used and well-documented connectors ensure smooth communication between various solutions, enhancing overall system interoperability.
  • Data Management: With a clean core, data quality improves significantly, becoming more complete, accurate, widely used, and relevant. This ensures that organizations can rely on their data for informed decision-making and efficient operations.
  • Process Optimization: Clean core implementation promotes process consistency and efficiency by adopting best practices recommended by SAP. Organizations can streamline their workflows, optimize resource utilization, and enhance overall operational effectiveness.
  • Day-to-Day Operations: Clean core facilitates the planning and execution of day-to-day operations with regularity, ensuring alignment with organizational goals and objectives. This proactive approach to operations maintenance helps organizations stay agile and responsive to evolving business needs.

How to Get Started with an SAP Clean Core Strategy

To embark on your journey with an SAP Clean Core Strategy, the first step is to assess your current ERP landscape and understand your organization's unique requirements. Begin by identifying areas where customization can be minimized, and standardization can be optimized to align with SAP best practices. ConvergentIS offers tailored solutions to assist you in building a clean core by providing expert guidance, innovative technologies, and comprehensive support throughout the transformation process. Our advisory services can help you strategize and plan your clean core initiative, while implementation and migration services ensure a smooth transition with minimal disruption to your operations. Leveraging ConvergentIS's expertise and solutions, you can streamline your ERP environment, enhance data integrity, and optimize processes to unlock the full potential of your SAP investment while staying agile and competitive in today's rapidly evolving business landscape. 

 

For more tips to improve your processes, you can start with building a strong business case using our free downloadable workbook below.