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2. Fit-to-Standard — But Which Standard Are You Actually Choosing?

  • Writer: David Murphy
    David Murphy
  • Apr 12
  • 4 min read

Updated: Apr 17


Introduction


“Fit-to-standard” has become a cornerstone of S/4HANA transformations, especially when aligned to SAP Activate. The intent is clear: adopt proven processes, reduce customisation, and accelerate delivery.


But here’s the challenge:


There isn’t just one “standard” — particularly across Supply Chain and Operations.


Choosing the wrong one can introduce unnecessary complexity, cost, and inefficiency — the equivalent of putting premium fuel into a system that doesn’t need it.

The Myth of a Single Standard


Within SAP, there are multiple standard paradigms — and in this example we are only looking at Plan-to-Deliver. The same situation exists across Finance, HR and other domains.


Across the Plan to Deliver value chain, there are multiple “standard” options within each module — each shaping how processes run, how users interact with the system, and how data flows across the business:


  • PP (Production Planning) - discrete, repetitive, process

  • MM (Materials Management)

  • WM / EWM (Warehouse Management options)

  • SD (Sales & Distribution)

  • TM (Transportation Management)

  • PM (Plant Maintenance)

  • QM (Quality Management)


Each of these contains multiple standard process variants — designed for different operating models, levels of complexity, and business maturity.

Standard Does Not Always Mean Simple


A common trap is assuming that adopting SAP standard automatically leads to simplification.


In reality:

  • EWM may offer advanced capability — but at the cost of increased process complexity vs WM

  • TM can optimise transport planning — but may be unnecessary for simpler logistics networks

  • QM processes can be highly structured — but may introduce overhead if not aligned to actual business needs


Without careful selection, organisations risk:

  • Over-engineering their processes

  • Increasing the number of user steps

  • Creating reliance on workarounds


The goal should not be maximum functionality — but appropriate simplicity.

Choosing the Right Standard Across the Landscape

All of the options above are standard.


The challenge is not whether to adopt standard — but which standard to choose.


Getting this right is critical to:

  • Avoid unnecessary complexity

  • Ensure key controls are retained within S/4

  • Enable coherent end-to-end processes

  • Define effective integration with external systems


Key design decisions include:


  • Production Planning (PP) →

    • Material staging vs direct consumption

    • Confirmation frequency (real-time, shift-based, backflush)

    • Integration with Goods Receipt

    • Handling of bulk materials across multiple finished goods

    • Order creation, scheduling, and release


  • Materials Management (MM) →

    • Level of supplier collaboration

    • Use of forecasts, confirmations, ASN

    • Integration with third-party warehousing


  • Warehouse Strategy (WM/EWM)

    • WM vs EWM vs external WMS

    • Retain or replace legacy systems

    • Level of automation and control required

    • Basic or Advanced requirements


  • Logistics (SD / TM) →

    • Order capture and fulfilment approach

    • In-house vs 3PL transport planning

    • Execution ownership and visibility

    • Need for control tower capability


  • Asset Management (PM) →

    • Retain or replace legacy maintenance tools

    • Integration of spare parts and scheduling


  • Quality (QM) →

    • Inspection points across the lifecycle

    • Traceability requirements (batch, serial, none)

    • Level of quality system integration


These decisions must align across:

  • End-to-end process flows

  • Data structures

  • Integration models

  • External systems


And critically — they must reflect how the business actually operates, or intends to operate.

Structural Decisions That Drive Complexity

Some of the most impactful decisions are structural, not process-driven.


For example:

  • Should a site be defined as a plant?

  • Or a storage location within a plant?


What appears to be a simple early decision can significantly increase — or reduce — overall complexity.


However, these decisions should not be locked in too early.


The most effective programmes:

  • Allow users to experience processes in a sandbox

  • Demonstrate end-to-end scenarios

  • Base decisions on system behaviour, not documentation


This reduces rework and ensures decisions are grounded in reality.

Who Should the User Interact With?

A key but often under-discussed question is:


Where should the user experience sit?

To maintain a clean core, not every interaction needs to happen directly in S/4.


Not all interactions need to occur in S/4:

  • Warehouse users → EWM RF/mobile

  • Shop floor → MES

  • Quality → LIMS

  • Transport → TM


The principle:

  • Use specialised systems where appropriate

  • Keep S/4 as the system of record and orchestration layer


This preserves a clean core while maintaining usability.

Keeping the Core Clean — While Keeping It Usable

A clean core approach does not mean compromising user experience.


A pragmatic approach includes:

  • Using SAP Fiori to simplify transactions

  • Applying small, targeted enhancements

  • Leveraging SAP BTP for lightweight extensions


This ensures:

  • Alignment to standard

  • Improved usability

  • Avoidance of heavy customisation


The focus is on simplifying interaction — not redesigning core processes.

Integration: Purpose over volume

Standard processes often rely on well-designed integration.


Key questions:

  • Which system owns the data?

  • What level of detail is required?

  • How frequently should data be exchanged?


For example:

  • Full LIMS results vs pass/fail into QM

  • Real-time MES confirmations vs aggregated updates


Over-integration leads to:

  • Increased complexity

  • Performance issues

  • Higher failure risk


The goal is purposeful integration — not maximum integration.

Don't Let External Systems Drive Design

A far too common mistake is allowing legacy systems to dictate SAP design.


This leads to:

  • Compromised standard processes

  • Increased customisation

  • Long-term constraints


Instead:

  • Define the SAP standard first

  • Align external systems to it

  • Clearly define ownership

Don’t Ignore Change Management

Every standard choice impacts users.


More complex solutions mean:

  • Higher change impact

  • Increased training needs

  • Greater adoption risk


Choosing the right standard is as much a people decision as a technical one..

Final Thought

“Fit-to-standard” is not about adopting everything SAP offers.


It is about:

  • Selecting the right standards

  • Keeping processes as simple as possible

  • Designing integrations intentionally

  • Placing user interaction in the right systems

  • Maintaining a clean, sustainable core


Just like fuel — the right choice isn’t the most powerful or the most expensive.


It’s the one that best fits your engine.


Get this right, and S/4 becomes an enabler.

Get it wrong, and “standard” becomes another layer of complexity — often driving users back to offline spreadsheets just to get work done.



S/4HANA Transformation Series


 
 
 

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