SAP Simple Logistics Overview - SAP Simple Logistics

What is SAP Simple Logistics - Overview?

Another name of SAP Simple Logistics is SAP S/4 HANA Enterprise Management. Several important modules are part of the SAP ERP Business Suite - Supply Chain, Material Management, Sourcing and Procurement, Contract Management, Demand Planning and Manufacturing.

Using SAP S/4 HANA Enterprise Management helps in improving performance and efficiency for the below business processes −
  • Inventory Management − The throughput is increased and easily defined analytics at every level of the process is provided by simplified data model.
  • Procurement – The Procure-To-Pay processes, Ariba Network Integration for PO Order and IV and new Analytical Apps efficiency is increased with SAP S/4 HANA Enterprise Management.
  • Material Requirements Planning – Based on decision support, fast MRP run is possible, and a new working model for MRP controllers.
  • Order Management & Billing – Many processes under Order management make use of S/4 HANA Enterprise Management. Operations are performed end-to-end order-to-cash process and action is taken for any exceptions, those exceptions are resolved with the information, lower TCO due to data model simplification, supporting the latest versions of business features like SFIN Revenue Accounting, GTS Foreign Trade, FSCM Credit Management and new analytical capabilities.

ERP Model vs S/4 HANA Data Model

As per the need to handle large amounts of data, SAP has provided next generation Business Suite S/4 HANA using which the computing power is utilized to maximum for processing huge data at brisk pace.

  • It’s believed that SAP S/4 HANA is a successor of SAP ERP solution but its not and it represents a separate product line. SAP ERP solution is altogether a separate product from SAP family suite. Below are the benefits of S/4 HANA Data Model over ERP Data Model −
  • All aggregate fields and history tables (in total 24 tables) are dropped.
  • The need to perform updates on aggregation tables is no longer required.
  • Open for new stock types.
  • High speed evaluations.

Along with digital development, the amounts of data is growing exponentially like – big data, social media and mobile. In coming years, a rise in business network adaption will take place. It is supposed that the number of mobile users by 2020 will be 9 billion and this will increase along with time.

SAP S/4 HANA Business Suite ─ Key Features

SAP S/4 HANA Business Suite key features are as below −

  • The latest design for the user experience using Fiori application providing a role-based integrated user experience.
  • Several applications can be connected in real time for analysis and data processing.
  • As in-memory database is used there are no aggregates, no indexes, and no redundancies.
  • SAP S/4 HANA provides a choice of deployment - On-Premise, Cloud, and Hybrid.
  • The data models and architecture are new in S/4 HAN.
  • Even after migrating to the system, customers can use the customization. The migration is done through implementation package in the form of SAP Simple Finance and Simple Logistics, and etc.
  • A next generation of business applications is provided with SAP S/4HANA. It is simple enterprise software for Big Data that helps in running simple in the digital economy.


Below diagram shows the different sub-modules available with SAP S/4 HANA Business Suite.


From above, we can observe that some portions of SAP CRM, SRM, and SCM are reintegrated. SAP S/4HANA Enterprise Management is available in the cloud and on-premise. This is again depends on several licensing/subscription models. SAP S/4 HANA solution can be implemented like On-Premise system similar to SAP ERP or it can be a Cloud solution.

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