An Important Year for SAP Consulting
The year 2025 is a turning point for SAP and its ecosystem as the company continues its evolution into a cloud-centric enterprise. SAP consultants must prepare to navigate an environment shaped by rapid technological advancements, shifting market dynamics, and an increasing emphasis on specialized solutions.
This article from IgniteSAP discusses SAP’s development plans and their implications for consultants aiming to excel in this changing landscape.
SAP’s Strategic Direction
SAP’s Ambition 2025 initiative highlights the company’s plan to overhaul their operations, optimize resources, and achieve significant financial growth. SAP’s stated objective is €10 billion in non-IFRS operating profit this year, and they have focused on expanding cloud offerings and improving efficiency.
The company’s transformation includes restructuring efforts and investments in scalable SaaS models, contributing to its goal to become a dominant cloud enterprise. In official SAP Investor Relations documents, these measures include consolidating overlapping product lines, reorganizing internal teams for better efficiency, and divesting non-core products that do not align with SAP’s cloud-first focus.
According to CEO Christian Klein, S/4HANA Cloud is expected to be the primary engine for SAP’s expansion, delivering a modern ERP with built-in AI and data analytics that help businesses automate processes and improve decision-making, SAP’s other AI integrations are also expected to substantially increase the corporation’s growth.
These strategies align with broader market trends, favoring subscription-based services over traditional licensing in order to provide more predictable revenue for the purposes of expansion. By emphasizing a subscription model, SAP also intends to reduce the total cost of ownership for customers.
Consultants will find opportunities in helping businesses adapt to SAP’s evolving delivery models, ensuring alignment between technological capabilities and organizational objectives.
S/4HANA Cloud
Originally, SAP announced that mainstream maintenance for ECC would end in 2025. However, to accommodate the large existing customer base, this deadline was extended to 2027, with extended support running until 2030. In presentations at SAP Sapphire, and in statements during their quarterly financial results statements, SAP executives have consistently urged customers to start planning so they can avoid a last-minute rush.
In 2025, SAP expects a critical mass of ECC customers to have migrated or begun their migration journey to S/4HANA, which, given the timescale for large implementations, means we can expect many customers competing for a limited number of SAP consultants.
In SAP’s quarterly financial statements and press releases, S/4HANA customer adoption saw double-digit growth in the first half of 2024, reflecting accelerating interest in SAP’s cloud ERP offerings. Christian Klein, CEO of SAP, has highlighted that most new customers are opting for S/4HANA Cloud over on-premise versions, a trend expected to intensify in 2025. These figures align with a broader industry shift: as organizations modernize their ERP landscapes, the speed and scale of cloud deployment have become vital competitive differentiators.
RISE with SAP
By 2025, SAP intends for RISE to be the primary vehicle for customer migrations. In multiple conference keynotes executives have explained how RISE with SAP helps companies minimize risk and reduce upfront infrastructure investments.
RISE with SAP comprises several core components: Business Process Intelligence provides real-time insights for optimizing and standardizing operations before and during migration, while technical migration tools (including data utilities, system conversion methodologies, and guided deployment packages) simplify the transition.
SAP BTP serves as a foundation for extending, integrating, and customizing S/4HANA solutions, and embedded analytics and AI services expedite decision-making and automate routine tasks in the post-migration environment.
This framework lowers the complexity barrier, making S/4HANA migration more accessible for both large enterprises and mid-market firms.
Cloud Migration and the Hybrid Landscape
Many organizations migrating to S/4HANA already have workloads on AWS, Azure, Google Cloud, or private clouds. SAP has responded by forging strategic partnerships with major hyperscalers, ensuring that S/4HANA Cloud can be deployed in multi-cloud or hybrid environments.
In official statements, SAP conveyed the importance of these alliances to smooth out deployment, reduce latency, and provide consistent global support. By 2025, SAP envisions a landscape where the majority of its S/4HANA clients leverage multi-cloud setups for flexibility and resilience.
These evolving delivery models create strong demand for consultants experienced in cloud architecture, system integration, and security best practices. SAP consultancies that can design, deploy, and manage hybrid infrastructures stand to benefit most in the coming years. SAP Community discussions and TechEd workshops emphasize the need for technical and functional experts who can align organizational objectives, data migration strategies, and custom extension scenarios with the capabilities of S/4HANA Cloud.
Opportunities for Consultants
As RISE with SAP becomes a primary migration framework, consultants who thoroughly understand its components, including licensing structures to advanced analytics, will become invaluable. Many enterprises struggle with the complexities of bundling infrastructure, software, and support services into a single contract. Consultants who can clarify these aspects and adjust them to each customer’s unique context will see heightened demand.
Though SAP is encouraging most customers to adopt RISE, many enterprises require hybrid models, retaining critical processes on-premise while embracing new functionalities in the cloud. This approach calls for consultants familiar with network architecture, security protocols, data governance, and integration methodologies across different platforms. Aligning these hybrid or multi-cloud strategies with existing business goals, while managing risk and regulatory compliance, will be a prized skill set in 2025.
The push to adopt S/4HANA Cloud is also about future-proofing. By using built-in AI and predictive analytics, businesses can gain real-time insights and agility. Consultants who can educate and guide customers on how to harness these advanced functionalities are likely to remain in high demand. SAP’s financial projections through 2025 hinge upon rapid customer adoption of these next-generation capabilities.
SAP Business Technology Platform (BTP)
Serving as a centralized hub, BTP eases connectivity between SAP and non-SAP applications, enabling businesses to innovate while maintaining their recommended clean core implementation strategy.
At SAP TechEd 2024, SAP executives reiterated the importance of BTP as the foundational layer underpinning SAP’s entire cloud portfolio. BTP integrates application development, data management, analytics, AI, and ML services so organizations can extend or customize SAP solutions without extensive code-based deployments. The platform’s low-code and no-code tools also allow consultants and users to create custom solutions without disrupting critical functionalities.
Consultants proficient in BTP will find extensive opportunities helping clients adapt to the clean-core approach, enabling faster implementation times and making it easier for customers to adopt new capabilities in line with SAP’s 2025 plan for fully cloud-enabled, intelligent processes.
AI and Advanced Analytics
Many AI and machine learning capabilities are already deeply embedded across SAP’s portfolio, changing decision-making and process optimization for businesses. SAP Business AI, adopted by thousands of customers so far, delivers predictive analytics, automated workflows, and advanced insights that enable organizations to respond effectively to rapidly changing conditions. During last year’s Sapphire keynote sessions, SAP highlighted that AI/ML capabilities will be standard in S/4HANA Cloud and other core applications by 2025.
Incorporating AI into SAP solutions enhances operational efficiency by automating routine tasks, improving data accuracy, and uncovering actionable insights. For instance, within SAP S/4HANA, AI-driven tools streamline inventory management by forecasting demand fluctuations and identifying bottlenecks in supply chains. These capabilities empower businesses to optimize their operations and remain agile in the face of volatility in their markets.
Another significant application of AI lies in consulting processes like automated testing and data migration. AI-powered tools can be used to identify potential errors, optimize workflows, and accelerate implementation timelines, thereby reducing project risks.
SAP has stated that by 2025, it aims to be recognized not only as an ERP and cloud solutions provider but also as a top-tier analytics vendor, furnishing companies with end-to-end data insights that drive innovation.
Consultants proficient in configuring and managing these functionalities can help clients achieve faster returns on investment while ensuring smooth transitions during system upgrades. Whether enabling predictive maintenance in manufacturing or streamlining HR processes, mastery of AI tools positions consultants as valued partners in their clients’ digital transformation journeys.
Industry Cloud and Vertical Solutions
Industry Cloud solutions reflect SAP’s focus on delivering sector-specific value by addressing unique operational challenges across industries such as manufacturing, retail, healthcare, and financial services. These pre-configured offerings combine best practices with flexibility, enabling businesses to adopt tailored solutions with minimal disruption. SAP aims to expand these vertical solutions to cover a broader range of industries, reinforcing its leadership in cloud-based vertical services.
For consultants, specializing in vertical domains presents an opportunity to bridge the gap between technology and business outcomes. Expertise in Industry Cloud will be crucial for driving innovation and optimizing processes within specific sectors, enhancing the consultant’s relevance in a competitive market.
Regional and Regulatory Challenges
SAP’s global footprint means its solutions must adapt to varying regional requirements, including data sovereignty, privacy regulations, and industry-specific compliance mandates. For instance, the GDPR in Europe, and data localization laws in markets like India shape how SAP solutions are deployed and managed.
Consultants must be prepared to navigate these complexities by tailoring implementations to local requirements. This includes addressing challenges related to cross-border data flows, ensuring adherence to compliance standards, and managing multi-cloud environments with region-specific considerations.
Sustainability is another emerging area, with SAP recently releasing its Green Ledger, along with other solutions such as Sustainability Control Tower, to help customers track resource usage and implement carbon accounting. Customers have yet to adopt such solutions at scale, but increasing environmental legislation will soon make sustainability a key requirement of ERP systems.
Ecosystem Growth and Partnerships
SAP’s partnerships with hyperscalers, as well as the most well-known service providers continue to expand the ecosystem’s capabilities. These collaborations enable businesses to deploy SAP solutions in multi-cloud environments, or create innovative deployment packages for customers providing services integrating SAP data with cloud-based AI or big data services.
Consultants can augment their SAP skills with additional relevant capabilities. Third-party marketplaces, such as the SAP App Center, offer pre-built solutions that complement SAP’s core functionalities. Consultants with the skills to integrate third-party solutions can help clients evaluate and implement these tools to address specific business needs.
As mergers and acquisitions reshape the ecosystem, integration expertise becomes increasingly valuable. Consultants who can align disparate systems and harmonize data across newly combined entities will find themselves in high demand.
Talent Shortages and Skill Development
Despite significant talent and training initiatives, the SAP ecosystem faces a significant shortage of skilled consultants, particularly in high-demand areas like S/4HANA migrations, Industry Cloud implementations, and advanced analytics. Although this is a substantial issue for the SAP ecosystem as a whole, the skills gap presents opportunities for individual consultants willing to invest in professional growth, as demand for skilled consultants is high, and increasing.
Training programs, such as those offered by SAP Learning Hub, provide pathways to develop in-demand competencies. Certifications in areas like SAP BTP, AI/ML, and S/4HANA Cloud can set consultants apart in the marketplace. Training should be backed up with practical experience gained through participation in relevant client projects to build credibility and expertise, as employers value proven skills along with certification.
Career Paths and Professional Development
SAP’s Road Map Explorer offers consultants a comprehensive view of upcoming product updates, enhancements, and strategic priorities. This tool is invaluable for aligning career development with emerging trends. Regularly checking for upcoming releases can help inform choices for upskilling and certification. By staying informed, consultants can anticipate client needs and position themselves as forward-thinking advisors.
To stay relevant, consultants should focus on acquiring skills in cloud migration, AI-driven analytics, and Industry Cloud solutions. These areas are central to SAP’s strategy and reflect the priorities of clients navigating digital transformation. Resources like SAP Learning Hub and certifications provide clear pathways to build expertise.
Regular review of SAP product updates, announcements, and roadmaps ensures consultants remain ahead of the curve. This proactive approach enables them to anticipate client needs and provide strategic guidance.
Participation in SAP user groups, such as ASUG, and events like SAP Sapphire and TechEd provides extra opportunities to connect with peers, share knowledge, and learn about SAP’s latest advancements. Networking within these communities not only enhances visibility but also encourages collaboration and innovation.
Preparing for Success
SAP’s strategic focus on cloud-first solutions, advanced analytics, and industry-specific offerings defines its vision for 2025. These priorities create new opportunities for consultants willing to adapt to this evolving landscape.
The path to success lies in a commitment to continuous learning, specialization in high-demand areas, and active engagement with the SAP ecosystem.
This year, consultants must seize the moment to improve their skills, explore new opportunities, and deliver transformative solutions that drive client success. By taking these decisive steps now, they can ensure a successful career in the SAP ecosystem.
If you are an SAP professional looking for a new role in the SAP ecosystem our team of dedicated recruitment consultants can match you with your ideal employer and negotiate a competitive compensation package for your extremely valuable skills, so join our exclusive community at IgniteSAP.
Source: https://ignitesap.com/what-sap-consultants-can-expect-in-2025/