We are in a new age of enterprise technology.
Between continuous AI advances and the new normal of cloud environments, your SAP landscapes are transforming at an unprecedented rate. These innovations are reshaping the way you operate and manage your technology investments while driving measurable business value.
Still, the challenge before SAP customers is to not only embrace these solutions but integrate them successfully into their existing IT landscapes.
Setting the stage for transformation, then executing on a modernization strategy are both tall orders. In 2024, SAP took steps to help its customers prepare their IT landscapes, data, and workforces to embrace new ERP solutions, delivering updates to RISE with SAP, strengthening its cloud portfolio, and working to build AI into your core business processes. With mainstream maintenance deadlines for the on-premises customer base fast-approaching, the time is now to transform.
Here are three trends I expect to dominate the conversation in 2025.
Continued AI Advances
Unquestionably, 2024 was the year of AI. SAP CEO Christian Klein declared his intention for SAP to become “the no. 1 business AI company” during the year’s first earnings call; at SAP Sapphire & ASUG Annual Conference, he unveiled plans to embed Joule, the generative AI copilot, across SAP’s entire cloud suite and reaffirmed SAP’s commitment to invest nearly €1 billion in AI use cases for customers. Expect business AI to remain top-of-mind in 2025, as SAP focuses on harnessing all that excitement to deliver measurable business results.
It’s clearer than ever that AI is not a flash-in-the-pan technology. The accelerated development of agentic AI, capable of managing complex workflows with minimal oversight, proves that the best is yet to come.
Increased Focus on Facilitating Business Transformations
2025 represents a make-or-break moment for SAP customers who have not begun enterprise-wide digital transformation projects, including adopting SAP S/4HANA and migrating to the cloud. The competition for critical external resources—such as implementation partners and system integrators—is already starting to skyrocket as the 2027 end of maintenance deadline approaches.
While recent ASUG research indicates that 45% of our community is currently live on SAP S/4HANA or in the midst of migration, 30% of our members indicate their organizations intend on initiating their digital transformation between the next six to 24 months. That is a lot of companies that will require the services of SAP consultants and partners in a short period of time. I encourage all ASUG Members to start as soon as possible, by locking in the resources they will need to succeed.
In recent years, SAP has built out its business transformation suite through software development and several acquisitions (including WalkMe, SAP Signavio, and SAP LeanIX). These are excellent tools for organizations, especially as they look to adopt a clean core business transformation approach. As we move into 2025, SAP customers can leverage this suite of solutions to help facilitate their digital transformation projects, especially as the demand for external resources accelerates.
Improving Workforces
As we tackle the new and evolving set of challenges posed by cloud computing and artificial intelligence, business leaders must focus on ensuring their employees are equipped with the training and knowledge they need to succeed. We must consider how to attract new talent, train employees to effectively leverage cutting edge technologies, and equip workforces with the knowledge and skills to thrive and drive business innovations.
One place to start, especially as enterprises undertake digital transformation projects, is by prioritizing change management efforts. In a recent ASUG Talks podcast episode, Karan Froom, a change management veteran and expert, encouraged listeners to kick off change management efforts early in digital transformation rather than waiting until after a technical implementation is complete to begin thinking about adoption.
This guidance holds true as your organizations seek to implement cutting-edge ERP technology; success lies with people as much as with processes and technology.
I look forward to seeing how these trends will play out throughout 2025. As always, ASUG is here to clarify, communicate, and help you maximize the value of your technology investments.
Geoff Scott is CEO & Chief Community Champion at ASUG.