SAP S/4HANA

Innovations on Solution Order Management

SAP S/4HANA Cloud: Solution Order Management Enables Transformation to Selling Bundled Solutions

The current economic situation that is under strain due to the global pandemic has increased pressure on businesses across industries. Companies are challenged to update their business models quickly to stay resilient and even consider transforming to completely new business models. The new solution order management process in the 2105 release of SAP S/4HANA Cloud now enables businesses to sell products, services and subscriptions in a single order, integrated along the order-to-cash process using the latest technology innovations. Subscriptions and pay-per-use models are designed and managed in SAP Subscription Billing solution, a scalable and cloud-native solution on SAP Business Technology Platform (SAP BTP), natively integrated into the solution order management process.

With the 2108 release of SAP S/4HANA Cloud, we plan for companies to be able to add people-based projects to the solution order process. The solution order integrates with the professional services functionality in SAP S/4HANA Cloud. This enables companies to sell bundled solutions, such as a point-of-sale solution including hardware, field services, maintenance agreements, software subscriptions and a rollout project in a single, integrated order management process.

Solution Order Management

As companies also need to carefully guard the profitability of solutions, SAP S/4HANA Cloud automates margin analysis for solution orders, including the elements of a combined solution. SAP S/4HANA Cloud automates revenue recognition for sales products, service contracts, recurring subscriptions and projects, supporting a simplified period-end closing.

The solution order management process enables companies to master their transformation, from selling individual products and services to providing higher-margin solutions, growing revenue, and satisfying clients.