A new report from UK SAP Consultancy Resulting IT reveals that many companies could struggle to resource the skills they need for their S/4 Hana migration projects.
Key findings of the report
The research shows how an aging workforce combined with offshoring in the mid-2000s means there will be a significant shortage of experienced SAP consultants in the run up to the 2025 end of support deadline for ECC.
- 54 percent of the most experienced SAP consultants plan to retire in the next 10 years.
- 52 percent of SAP consultants have no real experience with S/4 Hana.
- 54 percent of consultants expect a 10 percent increase in salary once they gain S/4 Hana skills.
S/4 Hana apocalypse
Stuart Browne, MD of Resulting IT, had this to say, “We already knew that S/4 Hana would create a spike in demand for SAP skills – but what this research shows is just how significant that impact is going to be. The hole that two generations of outsourcing have left in local labour pools, combined with a retiring workforce, overlaid with a gold rush to S/4 Hana means that SAP skills are close to a breaking point. Hence the term apocalypse.”
Recommendations in the report include advice on becoming more self-sufficient – advising businesses to create skilled people from internal resources instead of relying on contractors and managed service providers.
The research was run in conjunction with Dr Derek Prior, former SAP Research Director at Gartner.
He added, “During my 19 years as SAP Research Director at Gartner I can safely say that nothing has caused the same amount of confusion, panic, and uncertainty as there is today around S/4 Hana – and it’s that same uncertainty that makes this research so timely and so compelling. This report brings a much needed dose of clarity to the situation and provides the information SAP users require to make smart and strategic resourcing decisions in the run up to 2025.”
The report “Will You Survive The S/4 Skills Apocalypse?” polled 429 SAP consultants and end users.