Despite nearly a decade since the launch of SAP S/4HANA, only 34% of organizations have fully migrated as of early 2025. Another 41% plan to make the transition before the 2027 maintenance deadline, but 18% are on track to miss it, and 7% have no migration plans at all.
The reasons are clear and consistent:
- 62% cite high project costs
- 55% struggle with long implementation timelines
- 47% face migration challenges due to complex legacy environments
- Nearly 50% of migrations exceed budget expectations
These barriers are compounded by a fast-approaching compliance deadline: the end of support for S/4HANA Compatibility Packs on December 31, 2025.
Understanding the End-of-Life for SAP S/4HANA Compatibility Packs
Originally introduced to allow ECC-based custom processes to run in S/4HANA, Compatibility Packs served as a temporary bridge as organizations migrate. That bridge is now closing. After the deadline, continuing to rely on these components may lead to:
- License non-compliance, triggering USMM audits and unexpected fees.
- Loss of functionality during future SAP S/4HANA upgrades.
- Operational bottlenecks as organizations scramble to replace outdated processes under time pressure.
SAP has also signaled that future S/4HANA upgrades may automatically disable these legacy components. Even customers under RISE with SAP will need to plan carefully for migration timelines to retain their compliant status.
Key Exception: Extended usage until 2030 applies only to select components like Customer Service (CS), Transportation (LE-TRA), and Production Planning (PP-PI). Otherwise, the 2025 cutoff is firm.
SAP Native Tools Aren’t Enough
SAP’s own migration tools — such as Readiness Check and Simplification Item Check — are useful for flagging high-level technical compatibility issues. They can tell you where Compatibility Packs are present, but not how they’re being used. Critically, they fall short in several key areas:
- They don’t identify which Compatibility Pack components are actively in use across your system landscape.
- They can’t trace usage back to individual users, roles, or custom-developed objects — making it difficult to assess business impact.
- They offer no insight into how license assignments or user classifications should be adjusted under new SAP S/4HANA licensing models.
As a result, organizations are left with significant blind spots when planning for remediation and optimization. Without a clear, usage-based view of your SAP environment, it’s impossible to make informed licensing decisions or ensure a smooth, compliant transition.
How Optimizer for SAP Licensing Bridges the Gap
Optimizer for SAP Licensing is purpose-built to address these challenges. It provides the granular, data-driven intelligence you need to make informed decisions well before the 2025 deadline:
Compatibility Pack Usage Analytics
Identify exactly which transactions, roles, and users still rely on Compatibility Pack content — so you can plan their removal or replacement based on real usage, not guesses.
Cross-System Usage Intelligence
Gain a detailed view of usage across ECC, S/4HANA, and cloud environments, including dialog and background users, custom transactions, indirect access, and engine consumption.
Behavioral License Simulation
Simulate licensing demands based on actual activity — not just user roles — to model Full Use Equivalent (FUE) consumption under RISE with SAP and other contract models.
Guided Optimization Insights
Identify inactive or obsolete accounts, redundant license types, and role configurations that drive up license classifications — so you can streamline entitlements and reduce spend.
Continuous Compliance Monitoring
Move beyond one-off LAW submissions. Optimizer tracks usage trends and anomalies in real time, ensuring you remain audit-ready long after the Compatibility Pack deadline passes.
Contract Mapping and Forecasting
Match entitlements to real-world consumption, simulate future licensing requirements, and model cost impacts to support proactive planning and smoother SAP contract negotiations.
Preparing for the Future of SAP S/4HANA
The 2025 deadline isn’t just a compliance milestone — it’s a strategic opportunity to take control of your SAP licensing. It’s a chance to:
- Eliminate unused or underutilized licenses
- Align entitlements with actual business needs
- Streamline your environment in preparation for a leaner, more efficient S/4HANA landscape
With 87% of global commerce running through SAP systems, even small inefficiencies can have significant financial and operational consequences. Now is the time to optimize — before technical debt and licensing risk begin to accumulate.
Ready to simplify your SAP licensing strategy and plan a smooth transition?
Contact Open iT today to discover how our usage analytics and optimization solutions can help you navigate these changes with confidence.
