A private cloud encompasses infrastructure, including hardware, network, software, and mass storage with cloud architecture hosted on-premise. It also usually means greater benefits and more customization than in the case of a Public Cloud. A Private Cloud allows an organization to host its SAP solutions and data on cloud services that are not shared with other companies. Such a private cloud is intended only for a given Client.
Private clouds are typically hosted on-premise or in a private third-party Data Center. As a result, companies gain greater control over their data and infrastructure, making it easier to make quick updates when needed. An in-house IT team is usually responsible for implementing applications. SAP S/4HANA Private Cloud also allows you to use advanced analytics to predict and prevent bottlenecks and downtime.
One of the most important advantages of private clouds is that it can be adapted to the Client’s needs. Private Clouds offer high levels of adaptability to the specific technical and business requirements of the organization. Most importantly, in a private cloud companies can choose their infrastructure with specific mass storage and networking features.
Clients can customize almost anything and modify SAP source code with full backend visibility and control via SAP GUI. Additionally, they also have full access to the on-premise extensibility framework as well as code improvement and modification. Security
Another important advantage of private clouds is the high level of security compared to public clouds. Data is protected and managed on private servers that only the company can access, reducing the risk of leaks. Additionally, if the cloud servers are hosted on-premise, they are managed by an in-house IT team. Similarly, if the cloud servers are hosted in a Data Center, the IT team will also have access to the data via highly secure networks.
Customer information is highly sensitive data for any company, and any breach can have a negative impact on your business. Private clouds give enterprises a lot of control over their data and help keep it private.
Most importantly, a private cloud guarantees the use of every server and technology. Virtualization offers private cloud users better resource utilization by dynamically distributing the load across appropriate servers.
In the case of RISE with SAP, hosting SAP S/4HANA Cloud in a private cloud provides not only business response speed, but also:
A private cloud facilitates the migration of business from the outdated SAP ERP ECC system to the SAP S/4HANA cloud.
By simplifying the IT landscape, SAP S/4HANA Private Cloud allows companies to focus on growing their core business rather than focusing on IT systems. It offers a single point of contact and a single SLA that covers responsibility for ERP license, infrastructure, and operations. SAP S/4HANA Private Cloud implementation can be carried out using the brownfield or greenfield approach.
SAP S/4HANA Private Cloud has various subscription prices and a generous cloud expansion policy, which can result in up to 20% lower TCO compared to on-premise implementation. In addition, companies can achieve up to 87% reduction in infrastructure and personnel costs.
The hyperscaler infrastructure model based on all users allows for quick scaling while eliminating additional CAPEX costs and in-house implementation costs (usually they account for 30-50% of TCO). The private cloud edition also allows Clients to keep all the investments they had in their existing ERP system by migrating to the cloud. Overall, it allows companies to innovate at their own pace.
Cloud deployment allows for much faster implementation and achievement of business benefits, typically within 6 to 12 months, depending on the complexity of the data and infrastructure.
SAP S/4HANA private cloud is ideal for organizations looking for a gradual transformation to a pure SaaS landscape at their own pace with a well-defined conversion methodology. It offers software, support, managed technical services, and infrastructure from a single point of contact, with one set of SLAs.
Hicron consultants will guide you through the process of choosing the best solution and implementing SAP S/4HANA Cloud in the Private or Public version. Contact us to schedule a free survey of your organization’s needs.
We make sure that cooperation models with our clients meet their needs related to project timeline, budgeting methods and scheduling. We offer three variants of cooperation:
