SAP S/4HANA Cloud is SAP’s flagship next-generation ERP system. The company continuously improves its software by adding innovative solutions that reflect the needs of the market and modern enterprises using SAP. Therefore, in addition to traditional business process management capabilities, the system also provides a range of features based on artificial intelligence (AI). Its adoption in SAP products is a natural step forward in the evolution of not only the brand but also the technological environments of its clients. By leveraging AI, companies can increase efficiency, automate repetitive tasks, and make more accurate, real-time business decisions. Notably, AI functionalities differ depending on the selected edition of the software: Public Cloud Edition or Private Cloud Edition. The vendor ensures that as its products evolve, they also create growth opportunities for the companies that use them.
SAP is constantly developing its AI tools, offering increasingly advanced solutions. This article is the first part of our overview of the most attractive built-in AI features in both versions of SAP S/4HANA Cloud (Private and Public Cloud Edition). Explore the vector engine, SAP CoPilot, SAP Joule, as well as SAP AI Core and SAP AI Launchpad. Read on to discover how these tools are applied, the benefits they bring to companies implementing them, and how they integrate with other SAP modules.
Vector engine in SAP S/4HANA – a new dimension of contextual search using AI
The vector engine in SAP S/4HANA is currently available in the system, regardless of whether it is the Private or Public Cloud Edition. It leverages a semantic search layer powered by artificial intelligence, enabling the exploration of large data sets in a way that closely resembles human reasoning. Instead of traditional keyword or phrase matching (so-called syntactic search), it uses embedding vectors that represent the meaning of queries and business data. This allows it to provide users with highly accurate answers that can be effectively applied to strategic activities.
How the vector engine works in SAP S/4HANA:
- The user asks a question or enters a query in natural language.
- The system converts this query into a vector representation using an AI-based language model.
- The system compares the query vector with the vectors of data stored in the system (e.g., orders, documents, products).
- Based on this, the system generates the most contextually relevant results, even if they do not include the same keywords.
Which SAP solutions make use of the vector engine?
The vector engine is primarily used in:
- SAP Joule – contextual AI responses rely on vector-based content processing,
- SAP BTP AI Services – for semantic similarities between documents, products, or use cases,
- Fiori search – new “semantic search” mechanism powered by AI (beta in Public Cloud Edition),
- predictive and recommendation scenarios – for example: the system matches products to customers or recommends specific suppliers to companies.
Benefits for business users:
- much more accurate and relevant search results – users do not need to know the exact system phrase to get the answer they are looking for, as the tool correctly interprets their intent,
- better contextual data matching – even when there are no direct links in the system,
- advanced content filtering options – for analyses based on semantic, rather than purely numeric, similarity.
SAP Copilot and Joule (Generative AI)
SAP CoPilot (Private Cloud Edition)
It is a digital assistant built into the SAP Fiori interface available in SAP S/4HANA. Its functionality is similar to other virtual assistants such as Siri or Google Assistant. However, SAP designed it specifically for the needs of the users of its system and tailored it to the SAP business environment. The primary goal of SAP CoPilot is to make users’ daily work in the SAP environment easier. The tool leverages Natural Language Interaction (NLI), enabling smooth communication and interaction with the system. Additionally, it allows for the automation of repetitive, routine tasks.
Among the many features of SAP CoPilot, the following are worth highlighting:
- Natural Language Interaction (NLI) – users can ask questions and issue commands in a conversational manner, while the system interprets their intent and provides accurate responses,
- creating notes and conversations based on business data – the tool allows users to create notes related to specific business data, such as invoices or orders; it also enables conversations with other users directly in the context of this data, as well as setting reminders and tasks related to a given object,
- business process automation – the tool enables the automatic execution of processes in SAP, such as creating a new sales order or initiating a workflow,
- real-time data integration – the digital assistant can retrieve data directly from the SAP S/4HANA system, providing users with fast and unrestricted access to up-to-date information,
- contextual support – the tool accurately recognizes and interprets the context of the user’s activities in the system; for example, if the user is working in the sales module, the virtual assistant will suggest and prompt options relevant to this area.
Benefits of SAP CoPilot:
- increased system user productivity,
- easier access to information without having to go through multiple screens,
- automation of everyday tasks,
- enhanced collaboration between SAP system users.
Joule (Public Cloud Edition)
Similar to SAP CoPilot, SAP Joule is an AI-powered business assistant. This tool expands on the capabilities of SAP CoPilot and serves as its successor. It is based on generative artificial intelligence (GenAI) and is seamlessly integrated with the SAP ecosystem, including SAP S/4HANA, SAP SuccessFactors, SAP Customer Experience, SAP Ariba, and SAP Business Technology Platform. Unlike CoPilot, Joule not only supports natural language interactions but also generates recommendations, creates content, and provides real-time data analysis. SAP Joule is a context-aware AI assistant and an “intelligence layer” built on top of SAP system applications. It enables more efficient work within the system, faster decision-making, and the delivery of contextual, precise answers to questions asked by users in natural language. The tool operates similarly to modern chatbots and popular AI-powered digital assistants. What makes it stand out, however, is that it was designed specifically for SAP systems and tailored to operate in a corporate environment. It allows users to work with company data retrieved from the SAP ecosystem.
Key features of SAP Joule include:
- Natural Language Interaction (NLI) – users can ask the assistant questions without needing to follow complex, system-specific formats; the tool correctly interprets queries formulated in natural language, for example: “Where can I find revenues for Q2?” and then generates an answer, which in this case may be an analysis based on SAP data,
- contextual business data analysis – Joule automatically analyzes data from various SAP systems (such as SAP SuccessFactors, SAP Customer Experience, or SAP Business Technology Platform) and suggests actions tailored to the user’s needs,
- AI-powered content generation – the tool can create summaries, emails, recommendations, and even job descriptions or hiring plans, thus reducing the time users spend preparing such content,
- automated action recommendations (prescriptive AI) – Joule not only analyzes system data but also suggests specific actions and decisions to improve company operations; for example, it can generate a plan for adjusting a production line schedule,
- personalization and user preference learning – the tool has the ability to learn user preferences, adjust its communication style accordingly, and provide recommendations tailored to their individual needs,
- enterprise-grade data security and protection – Joule strictly adheres to privacy policies and all data security regulations, ensuring the highest level of protection for enterprise operations within the SAP system.
Benefits of using SAP Joule:
- relieving employees from routine analytical tasks,
- faster decision-making thanks to intelligent recommendations,
- personalization of the interface and results based on context,
- scalability – AI features are developed as part of SAP’s strategy based on the Business Technology Platform (SAP BTP).
SAP AI Core and SAP AI Launchpad (Public and Private Cloud Edition)
In the architecture of an intelligent ERP system like SAP S/4HANA Cloud, two technology platforms play a key role in supporting advanced AI use cases: SAP AI Core and SAP AI Launchpad. Both provide the foundational infrastructure for managing, deploying, and operationalizing artificial intelligence (ML/AI) models, whether they come from SAP, its partners, or are custom-built by the client.
SAP AI Core – execution engine for AI models
SAP AI Core is a fully managed cloud environment that enables the deployment, scaling, and automation of AI/ML models within the SAP landscape. It functions as the AI engine integrated with the SAP Business Technology Platform.
Key features of SAP AI Core:
- AI model lifecycle management – training, testing, deployment, and versioning of models,
- MLOps compliance – the tool supports modern practices for managing AI models in large organizations,
- integration with SAP HANA and SAP Data Intelligence – the solution provides direct access to transactional and analytical data,
- support for custom models and SAP Business AI – with SAP AI Core, users can run their own machine learning models (e.g., TensorFlow, PyTorch) as well as consume models delivered by SAP,
- data pipeline management – the tool enables full automation of the process, from input data to real-time predictions.
Applications:
- predicting demand, delivery delays, and employee turnover within the company,
- personalized recommendations in SAP Commerce and Customer Experience,
- request handling automation and document classification.
Benefits of using SAP AI Core:
- rapid deployment of AI/ML models – without the need to build your own infrastructure,
- direct integration with SAP systems – including the ability to integrate with solutions such as S/4HANA and SuccessFactors,
- support for both custom and prebuilt AI models – giving users technical flexibility,
- compliance with data security policies – all user activities in SAP AI Core adhere to the GDPR and enterprise-grade security standards,
- high scalability and task automation for AI with MLOps support.
SAP AI Launchpad – AI management cockpit
SAP AI Launchpad is the central console for managing artificial intelligence (AI) within the SAP environment. It enables organizations to monitor, manage, and deploy AI models and ML (Machine Learning) services in an organized, secure, and automated way. SAP AI Launchpad acts as a graphical user interface (GUI) based on SAP Business Technology Platform (BTP), significantly simplifying the work of IT teams, data scientists, and SAP developers.
Key features of SAP AI Launchpad:
- AI pipeline management dashboard – the tool allows users to monitor model statuses, logs, errors, and schedules, enabling them to dynamically and efficiently develop this technology within the enterprise,
- model performance monitoring – the solution enables tracking prediction quality, accuracy, and business metrics,
- integration with SAP Alert Notification and SAP BTP Cockpit,
- access to ready-to-use SAP AI Business Services models, such as Invoice Matching or Document Information Extraction,
- support for multiple AI environments simultaneously – the tool delivers predictive models for sales and separate ones for finance.
Benefits of using SAP AI Launchpad:
- centralized management of all AI models in a single interface,
- monitoring of model quality and pipeline performance (logs, metrics, alerts),
- transparency and auditability of AI operations (Explainable AI),
- simplified deployment management in Dev / Test / Prod environments,
- visual support and an interface for data and IT teams without coding.
How can AI solutions in SAP S/4HANA accelerate your business growth?
The artificial intelligence features in SAP S/4HANA Cloud – in both Public and Private Cloud Editions – are significantly changing how companies manage processes and data. From contextual search using the vector engine to digital assistants like SAP CoPilot and SAP Joule, and advanced AI model management platforms such as SAP AI Core and SAP AI Launchpad. All these solutions support automation, analytics, and making accurate business decisions in real time. AI in SAP S/4HANA Cloud delivers real business value, giving companies a competitive edge in the digital economy.
However, to fully unlock the potential of AI in SAP, the support of an experienced partner is essential. At Hicron, we have been assisting organizations in their digital transformation for years by leveraging the latest SAP technologies. As a trusted SAP partner, we not only implement ERP systems but also advise on how to maximize the potential of AI within each Client’s unique business environment. From needs analysis to solution personalization and integration with the existing IT infrastructure – Hicron provides comprehensive support at every stage of the project.
With this combination of cutting-edge technology and expert support, your company can work faster, smarter, and more efficiently. And this is just the beginning of what intelligent ERP can offer. Want to learn more about the possibilities of AI in SAP S/4HANA? Looking for a proven advisor and expert for projects that expand the use of artificial intelligence in your business? Contact us and discover the unlimited potential of AI in your SAP system!
