6.4    Enterprise Structure of the Model Company

Figure 6.4 shows the enterprise structure of the model company in SAP S/4HANA, on-premise. Placeholder xx stands for different country codes. Example country codes include the following:

Plant xx10, which is marked with an asterisk, can be copied (for example, to xx20) and then be used for transfers.

Enterprise Structure of the Model Company

Figure 6.4    Enterprise Structure of the Model Company

If you use the model company, you’ll start your implementation of SAP S/4HANA directly. You don’t need to start with a fully enabled solution, but you can activate the business processes that you actually need to use in batches. Business processes from various areas can be activated and executed together.

You can then run a fit-to-gap or fit-to-standard analysis in the context of the SAP S/4HANA workshop. In this way, all parties involved in the SAP S/4HANA project will receive an overview of the implementation project and develop a migration strategy at an early stage. The idea is to adjust the default model company only if you can achieve a unique selling proposition for your enterprise by doing so. In all other cases, you should adhere or revert to the default settings instead of replicating your legacy system. Generally, you may have decided to deviate from the default settings in your legacy system when the necessary functions were not available in the SAP system. The goal of the fit-to-gap workshop is to understand the functions of the SAP S/4HANA system, validate the solution, and tailor it to your requirements using SAP Best Practices within the SAP S/4HANA system. Possible gaps should be determined and bridged, a completely different approach than the traditional implementation blueprint.

[+]  Reference System for Preparing the Migration with this Book

The reference system with the model company described in this chapter can be useful throughout the book. Part II discusses migrating to SAP S/4HANA in a public cloud (the SaaS model), and Part III addresses migrating to SAP S/4HANA, on-premise, or migrating to SAP S/4HANA in a private cloud (hosting).

At this point, the migration road diverges. If you are not sure yet which deployment model (cloud or on-premise) suits your requirements best, read Chapter 7 first.