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New SAP S/4HANA On-Premises release focuses on supply chain capabilities


SAP announced the SAP S/4HANA 1610 release, the latest enhancement to SAP's next-generation on-premises ERP business suite. By utilizing a simplified data model and the award-winning SAP Fiori 2.0 user experience, the new release helps reduce complexity and unleash the next wave of business productivity. Through prediction and pattern recognition capabilities, along with machine learning, SAP S/4HANA lays the foundation to reduce exception management for more routine transactions, empowering the workforce to focus on higher-value tasks with embedded analytics and real-time insights.

"With this third major on-premise release of SAP S/4HANA, companies of all sizes can take advantage of innovations offered across lines of business and industries," said Wieland Schreiner, executive vice president, SAP S/4HANA, SAP. "Innovations in line of business and industry functionality allow companies to realize productivity gains and dramatically simplify their IT landscapes. SAP S/4HANA is the digital core that helps companies run live in today's digital world."

Digitizing the Extended Supply Chain Today customers have even greater expectations, from their discovery and purchasing experience to the personalization and delivery of products and services. As a result, companies need to manage an increasingly complex multichannel supply chain in order to deliver the customer promise made to the "audience of one" delivered through a "lot size of one." New functional, usability and integration enhancements in the SAP S/4HANA 1610 release allow supply chains to perform better with increased agility, promoting lower lead times, better customer service and higher profitability.

For example, supply chain planners can expect advanced warning of impending material shortages based on inputs from internal and external data sources. With real-time insights, companies can confidently target segments of one with high-value service-based offers, knowing more precisely their ability to profitably fill demand. To help companies manage in the digital world, the following core supply chain enhancements are included in the new release:

  • Advanced available to promise (aATP) offers newly enhanced capabilities to manage supply allocations at multiple levels, with high-performance, real-time ATP order confirmation. Additionally, new back-order processing and interactive rescheduling methodology helps ensure that constrained supply is matched to demands based on customer priority.

  • Inventory management provides simplified and highly scalable transaction management, with enhanced user productivity in a range of SAP Fiori apps to help provide inventory visibility and to track slow-moving items, monitor shelf life and provide real-time status updates of items in transit.

  • Material requirement planning (MRP) includes embedded production planning and detailed scheduling (PPDS) natively deployed without the need for complex integration and data maintenance to help drive accelerated MRP processing times from hours to potentially minutes and enable intelligent constraint-based planning and scheduling.

  • Extended warehouse management (EWM) is embedded to dramatically simplify adoption of advanced warehousing capabilities such as automation with mechanical handling equipment, task and labor optimization and the use of mobile devices, without the need to integrate a separate system. The SAP EWM application can be utilized in both embedded and stand-alone deployments.

  • Environment, health and safety (EHS) management offers comprehensive and integrated new functionality reimagined to take advantage of the digital transformation occurring across the enterprise. It uses real-time data to support EHS practitioners in managing operational risk, worker safety and compliance, with integrated solutions for incident management, chemical management, operational risk assessments, industrial hygiene/exposure monitoring, regulatory compliance and emissions management.

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