Introducing the SAP S/4HANA Cloud Deployment Options

After completing this lesson, you will be able to:

After completing this lesson, you will be able to:

  • Summarize the technical concepts and benefits of cloud computing
  • Explain characteristics of SAP S/4HANA Cloud

Cloud Computing

Introduction to Cloud Computing

The cloud, in technology terms, is made possible by the Internet. The devices within our physical space (i.e. computer, phone, tablet) have limitations. For example, the storage capacity on a hard drive is finite. However, we can use our devices to access near infinite resources in other locations with a simple internet connection.

Select each icon below to explore the benefits of Cloud Computing.

Deployment Models: Public, Private, and Hybrid Cloud

A cloud deployment model defines how a cloud service is made available to users.

Select the buttons below to explore characteristics of public, private, and hybrid cloud models, and how a customer can leverage a multi-cloud environment.

Computing Services: SaaS, PaaS, and IaaS

Cloud software is delivered "as-a-Service", where a consumer of the service is billed on a subscription basis for what they use. The subscription-based digital model is highly flexible and agile because you can easily scale up or down as needed.

Select the buttons below to compare three common models to find out what you can expect from a Software as a Service (SaaS), Platform as a Service (PaaS), and Infrastructure as a Service (IaaS). Most companies now use a mix of the three, and the lines between them can sometimes blur.

Examples of SAP's SaaS, PaaS, and IaaS Solutions

SAP is one of the world's leading producers of software for the management of business processes, developing solutions that facilitate effective data processing and information flow across organizations. We have more than 100 solutions covering all business functions, and the largest cloud portfolio of any provider.

Select the buttons below to see examples of SAP's software solutions mapped to the SaaS, PaaS, and IaaS computing services.

Characteristics of SAP S/4HANA Cloud

Components of SAP S/4HANA Cloud

SAP S/4HANA is an acronym for SAP Business Suite 4 the HANA Database

SAP S/4HANA is the next generation of the SAP business suite software. SAP S/4HANA enterprise software is the digital core of your organization, and is designed to run an Intelligent Enterprise. In an Intelligent Enterprise, data feeds into intelligent analytics, which in turn feeds process automation and innovation. SAP S/4HANA is integration-ready, and includes capabilities within the applications to easily make extensions and customizations to tailor the solution to your needs.

The SAP S/4HANA solution can be deployed in a public cloud, private cloud, or on premise to fit customer needs. The library of pre-delivered business processes and applications help you manage your customers, supply chains, networks, employees, and core processes. The business suite is built on the SAP HANA database, and the user experience is enhanced with the SAP Fiori user interface to provide a consistent and intuitive user experience, both in desktop and mobile apps.


The HANA database is an in-memory, column-oriented databased designed to store, receive, and query data that powers the SAP S/4HANA ERP solution. The in-memory computing engine enables HANA to process data stored in RAM as opposed to reading it from a disk. Storing data in main memory rather than on disk provides faster data access and, by extension, faster querying and processing. Column-oriented systems store all data for a single column in the same location, rather than storing all data for a single row in the same location (row-oriented systems), and therefore is able to precisely access the data needed to answer a query, rather than scanning and discarding unwanted data stored in rows.

Core Data Services

Core Data Services (CDS) is a common set of domain-specific languages and services for defining and consuming semantically rich data models. In other words, the CDS layer provides a universal language to read and process data across different applications. You can create CDS views in SAP S/4HANA Cloud to model data from the database for analytical purposes, or to generate application programming interfaces (APIs) to allow other applications to consume the data. In general, CDS views are intended to be consumed by a user interface (UI), analytics, or other systems.

SAP Fiori Launchpad

The SAP Fiori Launchpad is the central entry point to SAP S/4HANA for all users on mobile and desktop devices. The launchpad is a shell that hosts SAP Fiori applications, and provides services such as navigation, personalization, embedded support, and application configuration. Each tile represents a business application a user can launch. The launchpad is role-based, meaning the applications displayed are based on the user's assigned business role. Hundreds of SAP Fiori apps are available across different lines of business and industries covering a wide range from analytical to transactional tasks.

SAP S/4HANA Cloud Deployment Options

In a cloud model, a customer pays a subscription fee to use computing resources. The software to run your day-to-day business transactions and activities is SAP S/4HANA. The public cloud deployment is a new implementation with a fresh system, and offers the lowest total cost of ownership (TCO) with an easy to set up, and easy to use system based on standard SAP Best Practice business processes.

The private cloud deployment can be a new implementation, but also supports system conversion from an existing SAP ERP on premise system. This enables customers to maintain many of their existing business processes and customizations, while gaining the value of cloud architecture and services. The private cloud also supports the same functional scope as SAP S/4HANA on premise, including all 25 industries, whereas the public cloud has a more focused finance-led core ERP scope with a few selected industries, such as Professional Services.

Public cloud is multi-tenant, and private cloud is single-tenant. Tenancy refers to the number of tenants, or customers share the memory and bandwidth of a server. You can think of a multi-tenant server like an apartment building. All tenants share the core infrastructure and resources, but each has their own secure apartment unit within the building. Within a unit, one can make their own design and décor choices, however they cannot make major structure changes. And if there is a problem in your apartment, you call the building maintenance to resolve the issue, instead of having to take care of it yourself.

With the public cloud solution, customizations are made through SAP Fiori apps designed to facilitate those changes (e.g. Custom Fields and Logic, Custom Business Objects). This means extensions are guaranteed to be lifecycle-stable through future releases and therefore require less maintenance and attention. For complex customizations that cannot be done through the existing Fiori apps, the SAP Business Technology Platform extension suites are readily available and easily integrated to SAP S/4HANA Cloud. These public cloud characteristics - multi-tenancy, standardization, outsourcing maintenance of the system to your cloud provider, and lifecycle-stable extensions result in the lowest TCO and highest return on your investment.

With single-tenancy, there is a single tenant, or customer, on one server. Similar to being the only tenant in your own house, you have complete freedom in customization, including structural changes, such as modifying the SAP source code. With private cloud, customers that require a high degree of control and customization get the best of both worlds. You still get full visibility and control with access to the backend of the system through the SAP GUI, but you also get to outsource the infrastructure and technical software maintenance to cloud provider(s) under one contract.

SAP S/4HANA Cloud Scope

RISE with SAP S/4HANA Cloud

RISE with SAP S/4HANA Cloud is a standardized public cloud solution with a comprehensive enterprise resource planning (ERP) scope and selected industry and Line of Business (LoB) scenarios. RISE with SAP refers to the additional resources and benefits on top of the core SAP S/4HANA Cloud software that are designed to support a customer's transition to the cloud.

The SAP S/4HANA Cloud software lives in a multi-tenant server and each customer accesses their software through a unique link over the internet. Multi-tenant means that two or more tenants (customers) are sharing the bandwidth of one server. This multi-tenant server resides in an SAP data center. Your cloud provider (SAP) is responsible for maintaining the technical backend of your system and runs your software service in the server where your tenant resides.

SAP S/4HANA Cloud has the fastest innovation, meaning regular release cycles, where new features and enhancements to existing functionality are released. SAP maintains your system with bi-weekly hotfixes and installs the release upgrades to customer systems on the defined release schedule. Please note, only upgrades that affect a customer's existing scope (active business processes) are applied. New business processes that are released are completely up to the customer's discretion as to whether or not to activate the new scope in their system.

SAP S/4HANA Cloud has the lowest total cost of ownership (TCO), because multiple customers are effectively sharing the cost of a server, and because more standardization means SAP can provide far more pre-delivered resources to make the implementation and running the solution as easy as possible.

If you have subscriptions to multiple solutions in addition to SAP S/4HANA Cloud (e.g. SAP SuccessFactors, SAP Concur, etc.), you will have an individual tenant for each software server that may or may not reside in the same data center as your SAP S/4HANA Cloud ERP solution.

SAP S/4HANA Cloud Scope Highlights

SAP S/4HANA Cloud has a comprehensive ERP scope with end-to-end business processes delivered by preconfigured SAP Best Practices and selected industry-specific scenarios. Detailed information regarding individual scope items is available in the SAP Best Practices for SAP S/4HANA Cloud package in SAP Best Practices Explorer.

SAP S/4HANA Cloud Localization Coverage

At this point in time, RISE with SAP S/4HANA Cloud covers 43 country versions and 27 languages. Please note, localized country versions may not include all available solution scope (SAP Best Practices business processes).

Country Versions:

Australia, Austria, Belgium, Brazil, Canada, China, Czechia, Denmark, Finland, France, Germany, Hong Kong (China), Hungary, India, Indonesia, Ireland, Italy, Japan, Luxembourg, Malaysia, Mexico, Netherlands, New Zealand, Norway, Philippines, Poland, Portugal, Romania, Russia, Saudi Arabia, Singapore, South Africa, South Korea, Slovakia, Spain, Sweden, Switzerland, Taiwan (China), Thailand, Turkey, United Arab Emirates, United Kingdom, United States


Arabic, Bahasa (Malaysia), Chinese (simplified), Chinese (traditional), Czech, Danish, Dutch, English, Finnish, French, German, Greek, Hebrew, Hungarian, Italian, Japanese, Korean, Norwegian, Polish, Portuguese, Romanian, Russian, Slovak, Spanish, Swedish, Thai, Turkish

  • To determine if a specific scope item (business process) is available for a particular country, navigate to SAP Best Practices Explorer and change the country version to view all scope items available for that country.
  • Localization-specific features can be found in the SAP Help Portal

SAP S/4HANA Cloud, private edition Scope

RISE with SAP S/4HANA Cloud, private edition

RISE with SAP S/4HANA Cloud, private edition, is a cloud solution with the full SAP S/4HANA on premise scope, including all lines of business and 25 industries. It has the elasticity, resilience, and TCO of cloud infrastructure, with the capability for customers to convert their existing SAP ECC systems to a cloud deployment. RISE with SAP refers to the additional resources and benefits on top of the core SAP S/4HANA Cloud, private edition software designed to support a customer's transition to the cloud.

Customers can protect the investments already made into their existing SAP ERP software by converting their on premise solution into the private cloud. A new implementation of SAP S/4HANA Cloud, private edition can also be done to start fresh with a clean system.

In SAP S/4HANA Cloud, private edition, customers have full access to the on premise extensibility framework, supporting in-app and side-by-side extensions in addition to code enhancement and modifications. Expert configuration is possible with full IMG access, and the operating expense model is subscription-based.

The solution is inherently deployed with SAP HANA Enterprise Cloud, to provide the private cloud infrastructure and managed services. However, customers can choose where their solution is hosted: SAP or Hyperscaler data center. Hyperscaler providers include: Microsoft Azure, Amazon Web Services, Google Cloud, and Alibaba Cloud.

All services, from RISE, to infrastructure management, to the core software is delivered under one contract with SAP. Even if your solution is in a hyperscaler data center, SAP is the single point of contact.

SAP S/4HANA Cloud, private edition Scope Highlights

SAP S/4HANA Cloud, private edition has the same functional scope of the SAP S/4HANA On Premise solution. This includes the extended line of business processes and all 25 industries. Detailed information regarding individual scope items is available in the SAP Best Practices for SAP S/4HANA (on premise) package in SAP Best Practices Explorer.

SAP S/4HANA Cloud, private edition Localization Coverage

SAP S/4HANA Cloud, private edition has the same localization coverage as the SAP S/4HANA On Premise solution, including 64 country versions in 39 languages.

  • To determine if a specific scope item (business process) is available for a particular country, navigate to SAP Best Practices Explorer and change the country version to view all scope items available for that country.
  • Localization-specific features can be found in the SAP Help Portal

Two-Tier ERP Deployment

Two-Tier ERP Deployment Overview

An enterprise resource planning (ERP) system needs to be both agile and reliable, so an organization can quickly respond to evolving business conditions, while also maintaining a sustainable environment that serves stakeholders and business users. By combining two different deployments of SAP S/4HANA, a business can take advantage of the fast innovation in public cloud, while still allowing for a high degree of customization for strategic processes in the private cloud or on premise.

Save progress to your learning plan by logging in or creating an account