With the 2027 SAP on-premises support deadline approaching, organisations running SAP are aware of the need to make a shift before it’s too late. For those who are still hesitant about adopting SAP BTP in this ‘new’ world of cloud, innovation and AI, it might be worth considering what the cost of a ‘do nothing’ approach is. While a common misconception may be that ‘do nothing’ means ‘cost nothing’, there is an opportunity cost to not making the move towards an innovation-first platform.
With the 2027 SAP on-premises support deadline approaching, organisations running SAP are aware of the need to make a shift before it’s too late. For those who are still hesitant about adopting SAP BTP in this ‘new’ world of cloud, innovation and AI, it might be worth considering what the cost of a ‘do nothing’ approach is.
While a common misconception may be that ‘do nothing’ means ‘cost nothing’, there is an opportunity cost to not making the move towards an innovation-first platform, including:
- Missed innovation and agility
- Inefficiency in data management and integration
- Limited scalability and flexibility
- Lack of advanced insights
- A suboptimal customer/employee experience
- Delayed digital transformation.
If you’re running SAP, it’s more than likely that you’ll have systems and processes that need to work with one another, as well as being user-friendly for day-to-day operations and automated for efficiency. Add a layer of data privacy compliance, lack of space for scalability, the need for real-time analytics, more integration, and a push from higher up to be more flexible, dynamic, innovative, effective, creative, responsive, faster, leaner, meaner… and you have a perfect storm of challenges!
In this blog, we explore six common risks organisations are facing, and what the cost may be if you decide not to tackle them.
Risk 1: Lack of integration
Many organisations still struggle with siloed applications and data, where systems across departments don’t communicate effectively, especially for employee data.
Cost of doing nothing:
Without integrated employee data, the company not only risks higher turnover due to an inability to address the root causes of dissatisfaction, but also incurs increased recruitment and onboarding expenses to replace departing employees.
The lack of real-time insights into workforce trends means the company misses opportunities to proactively improve employee engagement and productivity.
Risk 2: Scalability
Organisations that fail to implement scalable solutions often find themselves stuck with outdated infrastructure and resources that impede their ability to adapt to change.
Cost of doing nothing:
As technology continues to advance, companies relying on outdated systems risk falling behind in terms of operational efficiency, customer experience and overall agility. This stagnation can lead to increased operational costs as businesses pour resources into maintaining legacy infrastructure… while competitors with scalable, cloud-based solutions move ahead, offering faster, more efficient services.
Risk 3: Data access
Timely insights are crucial for identifying trends, reacting to market shifts, and capitalising on new opportunities. When data is not reported on or updated in real time, businesses risk making decisions based on old information, which can lead to misaligned strategies or missed opportunities.
Cost of doing nothing:
Without (real-time) analytics, businesses can’t optimise operations or adapt quickly to changes. As a result, they may miss opportunities to improve customer experiences, optimise supply chains, or enhance marketing campaigns. By relying on stale data, organisations are essentially making poor decisions without having all the updated information they need.
Risk 4: Time-consuming manual work
Manual, time-consuming tasks are a significant drain on business resources and efficiency, especially when there is no automation in place. In many organisations, employees are still tasked with performing repetitive, mundane tasks such as data entry, manual reporting, or processing invoices.
Cost of doing nothing:
By failing to automate, organisations miss the opportunity to streamline operations, reduce operational costs, and improve accuracy. Valuable time that could be spent on developing new products, enhancing customer experiences, or pursuing strategic partnerships is lost.
Risk 5: Lack of innovation
Have you heard of ‘maintenance mode’? This means focusing solely on keeping existing systems and processes running, rather than evolving and embracing technological advancements. Understandably, this reluctance to innovate can stem from various factors, such as fear of disruption, budget constraints, effort to innovate because of outdated technology, or simply a lack of awareness of the potential benefits of new technologies.
Cost of doing nothing:
By not evolving, businesses may find their existing offerings becoming irrelevant, or their processes inefficient compared to those of more technologically advanced competitors. This lack of innovation can also lead to missed opportunities including in customer experience and market expansion.
Risk 6: Moving to the cloud
While cloud computing has become a game-changer in enabling businesses to access, store, and manage data more efficiently, some organisations are still clinging to outdated, on-premise infrastructure due to concerns about security, complexity, or the perceived cost of migration. By not embracing the cloud, these businesses miss out on a host of benefits.
Cost of doing nothing:
Without the cloud, organisations are forced to rely on cumbersome and slow legacy infrastructure that limits their ability to innovate and compete effectively. For example, cloud solutions enable real-time data access and collaboration across teams, allowing organisations to make more informed, timely decisions, at a much lower effort level compared to on-premise solutions. On-premise systems, on the other hand, often result in silos of information, slow decision-making, and increased operational costs due to the need for constant maintenance and upgrades.
Can you afford not to address these risks?
The risks of staying stuck in the past are all too real. From siloed data and outdated infrastructure to missed opportunities for innovation, the cost of doing nothing isn’t just a slow burn… it’s a ticking time bomb. Every day you wait, competitors are speeding ahead, armed with the cloud, real-time data, and automation. The longer you delay, the harder it becomes to catch up.
In our next blog, we’ll chat to Jhani Coetzee about the SAP BTP lifeline that can pull you out of the quicksand and into the future of scalable, integrated, and innovative business solutions.
Don’t wait until the problems become too big to solve. Start the research, understand where you stand, and take action now before it’s too late. The clock is ticking, and your next move could be a game-changer.
