As the 2027 deadline for the end of mainstream support for SAP ECC approaches, enterprises worldwide are facing a crucial decision—whether to migrate to SAP S/4HANA or seek alternative solutions. However, recent reports indicate that progress in this transition has been slower than expected.

Current State of Migration

According to a recent article from The Register (March 2025), the majority of SAP ECC users have yet to purchase licenses for SAP S/4HANA. A study by Gartner revealed that by the end of Q4 2024, only 39% of ECC customers worldwide had initiated the transition, marking a modest increase from 37% in Q2 2024 and 34% in 2023. This slow adoption raises concerns about whether businesses will be able to complete their migration before the support deadline.

Challenges Slowing Down Migration

Several key factors contribute to the slow adoption of SAP S/4HANA:

• Complexity of Migration: Transitioning from ECC to S/4HANA requires significant adjustments in system architecture, processes, and data structures. This complexity has led many organizations to delay the move.
• High Costs: The financial investment needed for migration, including licensing, consulting, and training expenses, is substantial. Many businesses are hesitant to allocate such resources without a clear return on investment.
• Resource Constraints: With a growing demand for SAP experts to facilitate migration, a talent shortage has emerged, further slowing progress.
• Customization and Legacy Systems: Companies with highly customized SAP ECC environments struggle to adapt their unique processes to the standardized framework of S/4HANA.

Regional Insights: The Case of Brazil

The migration trend in Brazil mirrors the global landscape. A report from IT Forum (January 2024) stated that only around 30% of Brazilian companies had initiated the move to SAP S/4HANA. Organizations in the region cite similar challenges, including complexity, cost, and a lack of qualified professionals. With the deadline inching closer, businesses must accelerate their transition strategies or risk potential disruptions when SAP discontinues support for ECC.

What’s Next for SAP Customers?

With just under three years remaining before the ECC support deadline, companies have limited time to plan and execute their migration effectively. Here are some key recommendations for businesses still considering their options:

1. Conduct a Readiness Assessment: Evaluate current SAP environments and business processes to determine the scope of required changes.
2. Explore Different Migration Paths: Consider phased migrations, greenfield implementations, or hybrid approaches to balance cost and efficiency.
3. Leverage Expert Support: Engaging SAP-certified consultants and leveraging automation tools can streamline migration efforts.
4. Prepare for Future Scalability: Beyond compliance, companies should view this transition as an opportunity to modernize operations, integrate AI-driven analytics, and enhance business agility.

Conclusion

The slow migration to SAP S/4HANA underscores the complexities and challenges involved in transitioning from legacy systems. While global adoption remains sluggish, businesses that proactively plan and execute their migration strategies will be better positioned to capitalize on the benefits of S/4HANA, ensuring long-term operational resilience.

As the deadline looms, the urgency to migrate grows. Companies that delay further may face operational risks, while those that act now will gain a competitive edge in the digital transformation era.