Last but not least let's have a quick look at the architecture of MCM.
We see that the application is split into two parts.
At the top in the center we see the cloud application built on the BTP platform, and at the bottom we see the SAP S/4HANA backend that does all the master data changes. This way, we have the best of both worlds. On one hand, SAP BTP gives us a flexible solution and the connectivity with the SAP event mesh, which is crucial in order to integrate third party systems.
At every major step of our standard process, an event gets sent out and that event can be used for example by one of the backend systems on the right side to react to it, get the data and start their downstream processes. On the backend side on the application process engine side, the event creates a transfer document, which is an intermediate document that gets stored and triggers a process document.
This architecture will change based on the customer landscape, and process like Device Management or Energy Data Management could be handled in SAP S/4HANA for Utilities, SAP Cloud for Energy or third party applications.

Note
*Device management and EDM process could be managed in SAP S/4HANA Utilities, SAP Cloud for Energy solution, or third-party solutions.
Full integration between measurement concept management and the measurement concept management add-on for SAP S/4HANA Utilities.
The MCM Cloud Application integrates natively with the SAP S/4HANA MCM Add-on using SAP Event Mesh to orchestrate the master data updates.
The SAP S/4HANA MCM Add-on requires configuration to properly update the data in SAP S/4HANA based on the instructions coming from the MCM Cloud Application.
Process Steps:
- Applications request new process against cloud application
- Cloud app validates initial data and raises events via SAP Event Mesh
- SAP S/4HANA and backend systems listen to new events and read / update data in cloud application
