{"id":93912,"date":"2026-04-03T13:54:55","date_gmt":"2026-04-03T13:54:55","guid":{"rendered":"https:\/\/mybusinessfuture.com\/sap-s4hana-migration-60-over-budget-what-midsize-companies-must-know-before-2027\/"},"modified":"2026-05-26T22:09:29","modified_gmt":"2026-05-26T22:09:29","slug":"sap-s4hana-migration-60-over-budget-what-midsize-companies-must-know-before-2027","status":"publish","type":"post","link":"https:\/\/mybusinessfuture.com\/en\/sap-s4hana-migration-60-over-budget-what-midsize-companies-must-know-before-2027\/","title":{"rendered":"SAP S\/4HANA Migration: 60% Over Budget &#8211; Midsize Firms Must Know"},"content":{"rendered":"<p style=\"display:inline-block;background:#F21F05;color:#fff;padding:4px 14px;border-radius:20px;font-size:0.85em;margin-bottom:18px;\">7 min read<\/p>\n<p style=\"line-height:1.8;margin-bottom:24px;\"><strong>By the end of 2027, SAP will terminate mainstream support for ECC. Companies that haven\u2019t migrated to S\/4HANA by then will face surcharges for Extended Maintenance\u2014and will struggle to find consultants still familiar with the legacy system. Sixty percent of all migration projects to date have exceeded budgets, timelines, or both. Yet waiting is the most expensive option of all.<\/strong><\/p>\n<h2 style=\"margin-top:40px;margin-bottom:8px;padding-top:16px;\">Key Takeaways<\/h2>\n<div style=\"background:#fafafa;border-left:4px solid #F21F05;padding:20px 24px;margin:16px 0 32px 0;border-radius:4px;\">\n<ul>\n<li><strong>Deadline looms:<\/strong> SAP ends ECC mainstream support in late 2027; Extended Maintenance through 2030 incurs extra fees (SAP, 2025).<\/li>\n<li><strong>Projects routinely overrun:<\/strong> 60 percent of S\/4HANA migrations miss budget, schedule, or quality targets (Horv\u00e1th Study 2025).<\/li>\n<li><strong>Consultants in short supply:<\/strong> SAP migration day rates rise up to 50 percent in 2026\/27 versus 2024.<\/li>\n<li><strong>Process change underestimated:<\/strong> 49 percent of companies cite process modifications as the biggest migration hurdle (Horv\u00e1th, 2025).<\/li>\n<li><strong>Leadership gap:<\/strong> Only 14 percent of smaller firms have their CEO personally leading the S\/4HANA project.<\/li>\n<\/ul>\n<\/div>\n<h2 style=\"margin-top:64px;margin-bottom:20px;padding-top:16px;\">A Deadline That Won\u2019t Be Postponed Again<\/h2>\n<p style=\"line-height:1.8;margin-bottom:20px;\">SAP has already pushed the date multiple times\u2014first to 2025, then to 2027, with Extended Maintenance available until 2030. That cushion lulled many mid-market players into a false sense of security. The math has changed: Extended Maintenance carries a premium on standard maintenance fees, and SAP no longer allocates development resources to ECC. New features, security patches for emerging threats, and cloud-service integrations are reserved for <a href=\"\/en\/ai-in-business-what-the-hype-conceals-and-what-mid-sized-companies-must-do-now\/\" target=\"_blank\" rel=\"noopener\">modern landscapes<\/a> only.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">The real squeeze is coming from three directions at once:<\/p>\n<p style=\"line-height:1.8;margin-bottom:18px;\">\u25cf <strong>Consultant drought:<\/strong> The pool of SAP professionals with hands-on ECC-to-S\/4HANA experience is shrinking while demand peaks in 2026\/27. Industry watchers report day rates climbing as much as 50 percent above 2024 levels.<\/p>\n<p style=\"line-height:1.8;margin-bottom:18px;\">\u25cf <strong>Compliance exposure:<\/strong> NIS2, DORA, and the EU AI Act raise the bar on data governance and transparency. An unmaintained ECC system becomes a compliance liability.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">\u25cf <strong>Competitive disadvantage:<\/strong> S\/4HANA adopters gain access to SAP Business AI and the Business Data Cloud\u2014AI-driven forecasting, automated procurement, real-time reporting. ECC holdouts are left watching from the sidelines.<\/p>\n<div style=\"margin:32px 0;display:flex;flex-wrap:wrap;gap:12px;\">\n<div style=\"flex:1;min-width:160px;background:#f8f9fa;border-radius:10px;padding:24px 20px;\">\n<div style=\"font-size:0.65em;text-transform:uppercase;letter-spacing:1.5px;color:#F21F05;border-bottom:2px solid #F21F05;padding-bottom:8px;margin-bottom:12px;\">Migration projects<\/div>\n<div style=\"font-size:clamp(1.5em,5vw,2.4em);font-weight:800;color:#F21F05;line-height:1;white-space:nowrap;\">60 %<\/div>\n<div style=\"font-size:0.8em;margin-top:8px;color:#495057;line-height:1.3;\">miss budget, schedule, or quality targets (Horv\u00e1th, 2025)<\/div>\n<\/div>\n<div style=\"flex:1;min-width:160px;background:#fff5f5;border-radius:10px;padding:24px 20px;\">\n<div style=\"font-size:0.65em;text-transform:uppercase;letter-spacing:1.5px;color:#F21F05;border-bottom:2px solid #F21F05;padding-bottom:8px;margin-bottom:12px;\">Roadmap in place<\/div>\n<div style=\"font-size:clamp(1.5em,5vw,2.4em);font-weight:800;color:#c0392b;line-height:1;white-space:nowrap;\">24 %<\/div>\n<div style=\"font-size:0.8em;margin-top:8px;color:#495057;line-height:1.3;\">of companies have a defined migration roadmap (Mittelstand Heute, 2024)<\/div>\n<\/div>\n<div style=\"flex:1;min-width:160px;background:#f8f9fa;border-radius:10px;padding:24px 20px;\">\n<div style=\"font-size:0.65em;text-transform:uppercase;letter-spacing:1.5px;color:#F21F05;border-bottom:2px solid #F21F05;padding-bottom:8px;margin-bottom:12px;\">RISE adoption<\/div>\n<div style=\"font-size:clamp(1.5em,5vw,2.4em);font-weight:800;color:#F21F05;line-height:1;white-space:nowrap;\">48 %<\/div>\n<div style=\"font-size:0.8em;margin-top:8px;color:#495057;line-height:1.3;\">are using or planning RISE with SAP\u2014up from 16 % in 2024 (DSAG, 2025)<\/div>\n<\/div>\n<\/div>\n<h2 style=\"margin-top:64px;margin-bottom:20px;padding-top:16px;\">Why 76 percent are left without a roadmap<\/h2>\n<p style=\"line-height:1.8;margin-bottom:20px;\">The Horv\u00e1th study of 200 SAP user companies in the DACH region reveals a recurring pattern: migration is treated as an IT project even though it is a transformation project. Forty-nine percent of respondents cite business-process changes as the biggest hurdle, 44 percent point to decades of customization and system maintenance, and 37 percent blame organizational resistance.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">No surprise then that a mid-sized manufacturing company running a customized ECC for 15 years has hundreds of Z-transactions, proprietary reports and deeply embedded interfaces. That technical debt does not vanish with an upgrade\u2014it must be consciously retired or consciously migrated.<\/p>\n<blockquote style=\"margin:32px 0;padding:24px 28px;background:linear-gradient(135deg,#fff5f5 0%,#ffe8e8 100%);border-left:4px solid #F21F05;border-radius:0 8px 8px 0;font-size:1.25em;line-height:1.5;color:#333;font-style:italic;font-weight:600;\">\n<p> \u201cMigrating to S\/4HANA is more than rolling out new software\u2014it means transforming long-entrenched routines into future-ready business processes.\u201d<br \/>\n<span style=\"display:block;font-size:0.65em;font-style:normal;font-weight:400;margin-top:8px;opacity:0.7;\">\u2014 IT-Matchmaker \/ Trovarit AG, SAP Trends 2026<\/span> <\/p>\n<\/blockquote>\n<p style=\"line-height:1.8;margin-bottom:20px;\">Only 17 percent of companies back their migration preparation with change-management measures such as training or process workshops. At smaller firms, the CEO leads the S\/4HANA project in just 14 percent of cases; CFOs or COOs are involved in only 7 percent. In short, the most expensive IT decision of the decade is being executed without executive sponsorship.<\/p>\n<h2 style=\"margin-top:64px;margin-bottom:20px;padding-top:16px;\">SAP\u2019s Incentive Program: Why the first half of 2026 is the right moment<\/h2>\n<p style=\"line-height:1.8;margin-bottom:20px;\">SAP has relaunched its Transformation Incentive Program for the first half of 2026 with a key change: 50 percent of the incentive value now flows directly into project costs as an Implementation Credit\u2014no marketing rebate, but genuine budget relief.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">Concretely, for every additional line of business (Finance, HR, Procurement) included in the <a href=\"https:\/\/www.cloudmagazin.com\/en\/2026\/03\/08\/cloud-talent-why-germany-is-finally-catching-up-on-upskilling\/\" target=\"_blank\" rel=\"noopener\">cloud migration<\/a>, the credit rises by 10 percent. Migrate the core ERP plus three additional areas and you can reach a 30 percent uplift on the base credit. The program runs until 30 June 2026 and applies retroactively from 16 February.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">Processing is handled through authorized SAP partners\u2014an important detail, because not every consultant can activate the incentive. To benefit, you must work with a certified implementation partner.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">\u25cf <strong>But:<\/strong> The incentive is no silver bullet. It lowers project costs, not complexity. Companies that dive into migration without a clear roadmap and process analysis will burn through the credit on rework and scope creep. The incentive rewards the prepared\u2014not the rushed.<\/p>\n<h2 style=\"margin-top:64px;margin-bottom:20px;padding-top:16px;\">Brownfield, Greenfield, or Hybrid: What Works for Mid-sized Companies<\/h2>\n<p style=\"line-height:1.8;margin-bottom:20px;\">The SAP community has debated Brownfield versus Greenfield for years. For the typical mid-sized company\u2014500 to 5,000 employees, a mature ECC setup, and a limited IT team\u2014the answer is usually more pragmatic than theoretical.<\/p>\n<p style=\"line-height:1.8;margin-bottom:18px;\">\u25cf <strong>Brownfield (System Conversion):<\/strong> The existing system is converted, preserving data and customizations. Advantage: Lower risk, shorter downtime. Disadvantage: Technical debt is carried over. <a href=\"https:\/\/www.digital-chiefs.de\/en\/csrd-reporting-obligation-2025\/\" target=\"_blank\" rel=\"noopener\">Governance requirements<\/a> such as CSRD or NIS2 often necessitate rework afterward.<\/p>\n<p style=\"line-height:1.8;margin-bottom:18px;\">\u25cf <strong>Greenfield (New Implementation):<\/strong> Processes are reimagined from the ground up. Advantage: Maximum innovation, clean start. Disadvantage: Significantly more expensive, longer timeline, high change-management risk.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">\u25cf <strong>Selective Data Transition (Hybrid):<\/strong> New processes are built on S\/4HANA while selectively migrating relevant master and transactional data. Companies like Heinzel Group have adopted this approach\u2014with multiple release phases that spread the risk.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">The trend is clearly toward RISE with SAP: DSAG\u2019s latest survey shows 48 percent of companies are already using or planning RISE\u2014up from 16 percent last year. The reason? RISE bundles licensing, infrastructure, and migration into one package, reducing the number of decisions a mid-sized company must make.<\/p>\n<blockquote style=\"margin:32px 0;padding:24px 28px;background:linear-gradient(135deg,#fff5f5 0%,#ffe8e8 100%);border-left:4px solid #F21F05;border-radius:0 8px 8px 0;font-size:1.25em;line-height:1.5;color:#495057;font-style:italic;font-weight:600;\"><p>\n \u201e\u25cf Selective Data Transition (Hybrid): New processes are built on S\/4HANA while selectively migrating relevant master and transactional data.&#8221; <\/p><\/blockquote>\n<h2 style=\"margin-top:64px;margin-bottom:20px;padding-top:16px;\">The 90-Day Roadmap: What to Do Now<\/h2>\n<p style=\"line-height:1.8;margin-bottom:20px;\">If you don\u2019t yet have a migration strategy, there\u2019s no need to panic\u2014but you do need to start now. Three months is enough to lay the groundwork:<\/p>\n<p style=\"line-height:1.8;margin-bottom:18px;\">\u25cf <strong>Weeks 1\u20134 \u2013 Inventory:<\/strong> Catalog every Z-transaction, custom report, and interface. Use SAP\u2019s free Application Value Assessment (AVA) tool to receive an initial migration-complexity analysis.<\/p>\n<p style=\"line-height:1.8;margin-bottom:18px;\">\u25cf <strong>Weeks 5\u20138 \u2013 Process Analysis:<\/strong> Identify the 20 core processes that drive 80 percent of business value. For each, decide: retain, simplify, or rethink? Senior leadership\u2014not just IT\u2014must be at the table.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">\u25cf <strong>Weeks 9\u201312 \u2013 Partner Selection and Incentive Securing:<\/strong> Evaluate three SAP partners, request a RISE quote, and apply for the Transformation Incentive by 30 June 2026. In parallel, launch change management, identify key users, and plan initial training.<\/p>\n<p style=\"line-height:1.8;margin-bottom:20px;\">The biggest mistake isn\u2019t choosing the wrong migration path\u2014it\u2019s having no path at all. Seventy-six percent of companies are still without a defined roadmap. That\u2019s the real cost trap: not the migration itself, but the improvisation under deadline pressure.<\/p>\n<h2 style=\"margin-top:64px;margin-bottom:20px;padding-top:16px;\">Frequently Asked Questions<\/h2>\n<details style=\"border:1px solid #e9ecef;border-radius:6px;margin-bottom:8px;background:#f8f9fa;\">\n<summary style=\"padding:14px 18px;cursor:pointer;font-weight:600;text-align:left;\"><strong>What happens if I continue operating ECC after 2027?<\/strong><\/summary>\n<p style=\"padding:14px 20px 18px;color:#495057;line-height:1.7;\">SAP offers Extended Maintenance until 2030, but at an additional cost on top of the regular maintenance fee. No new features or security patches will be provided. The system will continue to function, but it will increasingly become a risk\u2014especially with compliance requirements such as NIS2 or DORA.<\/p>\n<\/details>\n<details style=\"border:1px solid #e9ecef;border-radius:6px;margin-bottom:8px;background:#f8f9fa;\">\n<summary style=\"padding:14px 18px;cursor:pointer;font-weight:600;text-align:left;\"><strong>How long does a typical S\/4HANA migration take for mid-sized companies?<\/strong><\/summary>\n<p style=\"padding:14px 20px 18px;color:#495057;line-height:1.7;\">Brownfield migrations typically take 9 to 15 months, while Greenfield projects span 12 to 24 months. The actual duration heavily depends on the number of customizations and the complexity of the process landscape. Selective-data approaches with multiple release phases can shorten individual phases to around 6 months.<\/p>\n<\/details>\n<details style=\"border:1px solid #e9ecef;border-radius:6px;margin-bottom:8px;background:#f8f9fa;\">\n<summary style=\"padding:14px 18px;cursor:pointer;font-weight:600;text-align:left;\"><strong>How much does an S\/4HANA migration cost?<\/strong><\/summary>\n<p style=\"padding:14px 20px 18px;color:#495057;line-height:1.7;\">Costs vary widely: for mid-sized companies with 500 to 2,000 users, Brownfield migrations typically range from \u20ac500,000 to \u20ac2 million, while Greenfield projects can double that. SAP\u2019s Transformation Incentive may cover part of the implementation costs. A thorough preparation is key\u201460 percent of budget overruns stem from inadequate process analysis.<\/p>\n<\/details>\n<details style=\"border:1px solid #e9ecef;border-radius:6px;margin-bottom:8px;background:#f8f9fa;\">\n<summary style=\"padding:14px 18px;cursor:pointer;font-weight:600;text-align:left;\"><strong>Is RISE with SAP worthwhile for mid-sized companies?<\/strong><\/summary>\n<p style=\"padding:14px 20px 18px;color:#495057;line-height:1.7;\">RISE bundles licenses, cloud infrastructure, and migration services into a single contract. For companies without large in-house SAP teams, this simplifies procurement significantly\u2014you have one point of contact instead of five. The 2025 DSAG survey shows that 48 percent of DACH companies are already using or planning to use RISE, up from 16 percent last year.<\/p>\n<\/details>\n<details style=\"border:1px solid #e9ecef;border-radius:6px;margin-bottom:8px;background:#f8f9fa;\">\n<summary style=\"padding:14px 18px;cursor:pointer;font-weight:600;text-align:left;\"><strong>Brownfield or Greenfield\u2014what do advisors currently recommend?<\/strong><\/summary>\n<p style=\"padding:14px 20px 18px;color:#495057;line-height:1.7;\">For most mid-sized companies, advisors recommend a pragmatic Brownfield approach or Selective-Data Transition. Pure Greenfield only makes sense if existing processes are fundamentally outdated or a carve-out is planned. Companies like QD Group have deliberately chosen Brownfield to minimize downtime and change-management effort.<\/p>\n<\/details>\n<h2 style=\"margin-top:64px;margin-bottom:20px;padding-top:16px;\">Further Reading<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.cloudmagazin.com\/en\/2026\/03\/08\/cloud-talent-why-germany-is-finally-catching-up-on-upskilling\/\" target=\"_blank\" rel=\"noopener\">Cloud Talent in Germany: Why upskilling is finally catching up \u2013 cloudmagazin<\/a><\/li>\n<li>NIS2 in Germany: What companies need to know and implement now \u2013 SecurityToday<\/li>\n<li><a href=\"https:\/\/www.digital-chiefs.de\/en\/csrd-reporting-obligation-2025\/\" target=\"_blank\" rel=\"noopener\">CSRD Reporting Obligations 2025: What CFOs need to know now \u2013 Digital Chiefs<\/a><\/li>\n<\/ul>\n<p style=\"text-align:right;color:#868e96;font-size:0.85em;margin-top:48px;\"><em>Source of cover image: Kampus Production \/ Pexels<\/em><\/p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>7 min read By the end of 2027, SAP will terminate mainstream support for ECC. Companies that haven\u2019t migrated to S\/4HANA by then will face surcharges for Extended Maintenance\u2014and will struggle to find consultants still familiar with the legacy system. Sixty percent of all migration projects to date have exceeded budgets, timelines, or both. Yet [&hellip;]<\/p>\n","protected":false},"author":205,"featured_media":89056,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_yoast_wpseo_focuskw":"sap s\/4hana","_yoast_wpseo_title":"SAP S\/4HANA: Avoid budget overruns before 2027","_yoast_wpseo_metadesc":"Digitalisierung: Master S\/4HANA migration before 2027! Avoid costly pitfalls & future-proof your business. Read our guide now.","_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_meta-robots-adv":"","_yoast_wpseo_canonical":"","_yoast_wpseo_opengraph-title":"","_yoast_wpseo_opengraph-description":"","_yoast_wpseo_opengraph-image":"","_yoast_wpseo_opengraph-image-id":0,"_yoast_wpseo_twitter-title":"","_yoast_wpseo_twitter-description":"","_yoast_wpseo_twitter-image":"","_yoast_wpseo_twitter-image-id":0,"featured_post_sortierung":0,"featured_post":0,"pre_headline":"","bildquelle":"","teasertext":"","language":"de","_wp_old_slug":[],"footnotes":""},"categories":[1152,1280],"tags":[],"class_list":{"0":"post-93912","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","6":"hentry","7":"category-it-tech","9":"entry"},"wpml_language":"en","wpml_translation_of":89030,"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.9 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>SAP S\/4HANA: Avoid budget overruns before 2027<\/title>\n<meta name=\"description\" content=\"Digitalisierung: Master S\/4HANA migration before 2027! 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