RISE with SAP: Private vs. Public Cloud – Which Fits Your Enterprise?

RISE with SAP: Private vs. Public Cloud – Which Fits Your Enterprise?

Executive Summary:

Global CIOs face a pivotal choice with RISE with SAP: adopt the public cloud edition for speed and standardization, or choose the private cloud edition for flexibility and control.

This advisory note provides a balanced comparison of both models, examining cost, customization, update cadence, and more, to help you select the right fit.

In short, RISE with SAP private vs. public cloud isn’t a one-size decision; it’s about aligning cloud strategy with your enterprise’s unique needs and constraints.

Understanding RISE with SAP Cloud Options

RISE with SAP is SAP’s all-in-one offering to transition enterprises to S/4HANA in the cloud. It bundles software licensing, infrastructure, and managed services into a single contract, simplifying the transition to a cloud ERP.

Within RISE, there are two primary deployment models: a Public Cloud edition and a Private Cloud edition.

Both run on S/4HANA, but they differ in how the cloud environment is provisioned and managed:

• Public Cloud Edition (Multi-Tenant SaaS): Your SAP S/4HANA system runs in a shared environment, alongside other customers, with standardized processes. It’s often referred to as RISE with SAP S/4HANA Cloud, public edition. SAP handles nearly all technical duties, and you consume the software as a service. This model emphasizes simplicity and rapid deployment – ideal for organizations willing to adopt SAP’s best practices with minimal deviation.
• Private Cloud Edition (Single-Tenant Managed): Your SAP S/4HANA runs on a dedicated system (in SAP’s cloud or a hyperscaler) exclusively for your enterprise. Known as RISE with SAP S/4HANA Cloud, private edition, it offers the full scope of SAP S/4 (including industry-specific solutions) in a cloud subscription model. SAP (or a partner) manages the infrastructure and basic operations, but you retain greater control over configurations, customizations, and the upgrade timetable.

Why it matters: Both editions let you offload data center costs and leverage SAP’s cloud operations, but the trade-offs come down to flexibility vs. standardization.

The public cloud operates like a streamlined SaaS ERP, offering cost-effectiveness and rapid deployment, but with limited customization options. The private cloud feels closer to a traditional SAP environment, highly adaptable to complex business needs, but with higher cost and effort.

Read our SAP ERP Private Cloud licensing guide.

Key differences at a glance:

Below is a comparison of RISE with SAP private and public cloud models, highlighting crucial factors for decision-making:

Table: Comparison of RISE with SAP Private vs. Public Cloud Editions.

Cost and Licensing Considerations

When choosing between private and public cloud editions, cost is a pivotal factor.

RISE with SAP’s pricing is subscription-based in both cases, but the magnitude and drivers of cost differ:

• Public Cloud Cost Model: Generally offers a lower entry price. It’s often priced per user (or per subscription metric) with infrastructure and basic support included. The multi-tenant nature allows for economies of scale, enabling SAP to spread costs across customers and provide a cost-effective package for you. For example, a global enterprise might find that the public edition subscription for 1,000 users comes out notably cheaper than an equivalent private edition setup, especially when factoring in hardware and maintenance savings. Public cloud is attractive to budget-conscious CIOs because it eliminates the need for significant upfront investments in servers or perpetual licenses. All costs become predictable on a monthly or annual basis, with OPEX.
• Private Cloud Cost Model: Expect a higher subscription fee, reflecting the dedicated resources and flexibility you get. You’re essentially paying for a private, isolated SAP environment managed for you. Cost drivers include the size of your system (e.g., HANA memory, number of SAP modules, custom integrations) and service level needs. While it converts CAPEX to OPEX as well, the TCO over several years can be higher than that of a public cloud. However, it may still be cost-justified for large enterprises when considering the value of retained custom capabilities and the avoidance of disruption. Key point: A private edition can reduce internal infrastructure/support costs (SAP does the heavy lifting), but licensing is more complex and typically negotiated on a case-by-case basis. Ensure you right-size the contract – e.g., don’t overprovision user counts or memory – to avoid overpaying.

Hidden costs and pitfalls: Be aware of extras that may not be apparent in the base price in either model. For instance, excess data storage, integration services, or additional usage of SAP Cloud Platform (BTP) may incur additional fees.

In a public cloud, if your needs exceed standard functionality, you might end up licensing extra cloud extensions or third-party add-ons, which can increase costs.

In a private cloud, ensure that aspects such as disaster recovery, high availability, and peak capacity are clearly outlined in the contract (they are often included, but capacity beyond certain thresholds may incur additional costs).

Always model a 5-year cost scenario: include subscription fees, implementation services, potential price escalations at renewal, and any migration costs.

Many enterprises engage in contract negotiations with SAP to secure price protections and credits (e.g., credit for existing licenses if transitioning to RISE).

As an IT executive, treat the RISE contract like any major outsourcing deal – scrutinize the terms for lock-in, flexibility to scale up/down, and exit costs if you later switch strategies.

Bottom line on cost: The public edition usually wins on raw subscription price and simplicity. The private edition demands a larger investment, but might offer a lower TCO than on-premise traditional models (SAP touts up to ~20% TCO reduction vs. on-prem in some cases) due to eliminating hardware and leveraging cloud efficiencies.

To choose wisely, align costs with expected benefits: Is your enterprise gaining enough agility or innovation in public cloud to justify possibly sacrificing custom features? Or is paying more for private cloud justified by the ability to keep differentiating processes and avoid risky re-engineering? Answering these questions will clarify the best financial fit.

Learn more about the cost differences between private and public clouds.

Flexibility vs. Standardization: Customization Trade-offs

A key difference between RISE with SAP private and public editions lies in the extent to which you can customize the system to fit your business needs.

This is essentially a trade-off between flexibility and standardization:

• Private Edition – Maximum Flexibility: The private cloud option preserves the full flexibility of SAP’s traditional ERP. You can tailor processes, build custom enhancements, and even modify SAP’s core code if needed (though SAP will still support you, it’s your instance). All the familiar SAP GUI access, ABAP development, and extensive configuration options are available. For a global enterprise with unique workflows or proprietary solutions built into SAP ECC over the years, this is critical. Example: A multinational manufacturer might have a heavily customized production planning module. In a private cloud, they can carry that forward or rebuild it with custom code in S/4HANA, with fewer constraints. The private edition also supports industry-specific extensions (some industry solutions are only compatible with the full S/4HANA stack). The benefit: you don’t have to shoehorn your business into a generic template – the system can bend to you. The flip side is that you carry forward more complexity; CIOs should ensure that flexibility is used wisely (not recreating old bad customizations that standard best practices could replace).
• Public Edition – Standardization First: The public cloud is designed around SAP’s best practice processes – think of it as a leaner, pre-configured ERP. Customization is allowed only in constrained ways: primarily in-app configuration and extensions via SAP’s Business Technology Platform (BTP). For instance, you can add custom fields or slight process variants using provided tools, and develop side-by-side apps on SAP BTP that integrate via APIs. But you cannot alter core SAP code or use traditional user exits/modifications. Many complex settings are off-limits to customers to maintain consistency across the cloud. This ensures system stability and facilitates easy upgrades, but it means that some unique business processes may need to be modified to accommodate the software. Enterprises that choose a public cloud often undergo a “fit-to-standard” workshop, where they map their requirements to what SAP standards offer and identify gaps. Those gaps might require reengineering business processes or building an extension app outside S/4HANA. The positive side is simplicity: fewer customizations mean easier maintenance, and your IT landscape stays clean. CIOs often view the public cloud as an opportunity to replace decades of custom code with modern best practices, which can ultimately enhance long-term agility.

Important consideration:

How much competitive advantage do your custom processes provide? If the answer is “not much, and standard SAP is good enough,” the public edition might be a fit (you’ll save time and avoid reinventing wheels).

But suppose certain customizations are mission-critical or industry-differentiating (e.g., a unique logistics optimization, or specialized compliance checks deeply embedded in your system).

In that case, the private edition may be the safer choice. Global enterprises often have a mix – some processes can be standardized, others are truly unique.

This is why some CIOs consider a hybrid model: for example, keeping the core headquarters ERP in a private cloud for full flexibility, while deploying a public cloud instance for smaller subsidiaries or new acquisitions that can run standard processes.

While RISE with SAP doesn’t officially sell a “hybrid” of public/private, you can architect a landscape with both editions in different parts of your business. Just weigh the integration complexity this could introduce.

Read more about contract implications of private vs public cloud.

Key takeaway:

The public cloud edition enforces a “keep the core clean” approach, which is beneficial for agility and lower IT overhead, but requires alignment of business processes with SAP standards.

The private edition lets you “bring your baggage” (custom legacy) into the future – beneficial for continuity and specialized needs, but you must manage that complexity. There’s no vendor bias here: the right choice depends on your enterprise’s appetite for change.

Read Migrating from ECC to SAP ERP Private Cloud: Licensing and Cost Implications.

Update Cadence and Innovation Pace

Another major difference is how software updates and new features are delivered to your SAP system – and how much control you have over that schedule.

This affects your ability to innovate vs. your need for stability:

• Public Cloud – Continuous Innovation: With RISE public cloud, SAP delivers automatic updates on a frequent cadence, often quarterly. This means your system is always on the latest release, and you regularly receive the latest features and improvements. For example, suppose SAP develops a new AI-driven forecasting module or updates its regulatory compliance. In that case, public cloud customers may see it enabled in their system within the next update cycle, without requiring a complex upgrade project. The upside is constant innovation: business users can leverage new capabilities faster, and the software vendor ensures you never fall behind technologically. However, the trade-off is control. SAP sets the timeline (typically with a predetermined schedule each year), and while you get notice and a sandbox to test, you have limited ability to postpone an update. For a global enterprise, managing quarterly regression testing and change management can be challenging – you need strong governance to ensure each update doesn’t disrupt operations. Many CIOs mitigate this by establishing a cloud center of excellence that handles the flow of updates, tests new features, and communicates changes to the business proactively.
• Private Cloud – Controlled Upgrades: In the private edition, the upgrade cycle is more in your hands. SAP still releases updates (the S/4HANA product evolves for all), but you coordinate with SAP when to apply them to your single-tenant system. Typically, SAP allows a longer runway – potentially up to 5 years on a given major release – before you must upgrade (to stay within support). In practice, many private cloud customers plan for major version upgrades perhaps every 1-2 years or as needed, rather than every quarter. You might also get Feature Pack Stacks or service packs that you can apply selectively for minor improvements in between. This controlled cadence appeals to organizations that require extensive testing due to many customizations or validated systems (e.g., pharmaceutical companies with validated environments). You can align upgrades with your business’s readiness and avoid constant change. The downside is that you may lag in new features; if SAP introduces a breakthrough capability, private edition customers might not utilize it until their next planned upgrade. Additionally, deferring upgrades too long can make the eventual jump bigger and more complex. Thus, CIOs should still maintain an innovation roadmap – even in private cloud – to periodically consume new SAP innovations (perhaps annually or bi-annually) in a manageable way.

Considering downtime and risk:

With public cloud’s smaller, incremental updates, each update tends to be less disruptive (often handled in a weekend window managed by SAP).

Private cloud upgrades, although less frequent, can be larger projects that require staffing and budgeting, similar to traditional upgrades.

Ensure you factor this into your planning. Enterprises with limited IT capacity might lean towards public cloud to avoid the burden of major upgrades.

Conversely, those who can’t afford even a minor hiccup every quarter (perhaps due to peak season operations or tightly integrated processes) may prefer the private route to schedule changes on their calendar.

Summing up: The public edition is like having continuous delivery of innovation – great for staying cutting-edge, but you must be prepared to continually absorb changes.

The private edition offers stability and timing control, at the cost of more customer-driven upgrade projects and potentially slower access to new features.

When choosing, ask yourself: does your organization value a steady stream of new capabilities more, or the ability to minimize change in the short term?

Also, consider your IT team’s capacity to manage updates and your business’s culture around change. This will guide you toward the model that best fits your cadence.

Migration and Implementation Approach

Your enterprise’s starting point (existing systems) and preferred path to S/4HANA can heavily influence the choice between public and private cloud.

Key considerations include whether you plan a Greenfield implementation (starting fresh) or a Brownfield migration (converting your existing SAP ECC), and how fast you need to be live:

• Brownfield vs. Greenfield: The RISE with SAP public cloud edition essentially requires a greenfield approach. Companies must implement afresh, moving data over but re-engineering processes to align with the new system. There is no automated technical conversion of an ECC 6.0 system into the multi-tenant cloud, because the underlying software versions differ and custom code isn’t portable. In contrast, the private edition supports brownfield migrations – you can perform a lift-and-shift of sorts, upgrading your ECC system in-place to S/4HANA and then migrating it to SAP’s private cloud hosting. If your enterprise has decades of data and configuration you’d like to carry forward with minimal change, a private cloud is likely the only feasible route. For example, a global manufacturer running ECC with 100 company codes worldwide might find it far less disruptive to perform a technical conversion to S/4HANA (and then refine incrementally) in a private environment, rather than reimplement everything from scratch.
• Implementation Timeline: Public cloud implementations tend to be faster (often 6-12 months for a mid-sized scope) because you start with model company templates. SAP and partners have predefined process content to accelerate the project. Private cloud projects can vary widely – if a brownfield project is being undertaken, a technical conversion could be completed in months, but then optimizing processes might take longer. If implementing a greenfield solution on a private cloud (yes, you can also choose to reimplement on a private cloud), the effort may be similar to that of an on-premise S/4 project, which for large enterprises can take 12- 24+ months, depending on the scope. CIOs should consider business urgency: if a rapid go-live is a top priority (e.g., to meet a deadline, such as the end of support for ECC or a new acquisition requiring an ERP), the templated approach of public cloud could be an attractive option. On the other hand, if getting it “done right” outweighs speed – preserving what works in your current system and migrating in phases – private edition gives more leeway.
• Process Fit Gap: During implementation planning, assess how many of your existing processes have standard equivalents in S/4HANA public cloud. Suppose the gap is large (meaning you find many processes that the public edition cannot support out of the box). In that case, that points toward either a significant process change or choosing the private edition to accommodate them. It’s advisable to conduct a fit-gap analysis or a system demo early, involving business users to see if they can live with the vanilla processes. Many enterprises are surprised to find that, over the years, they have built custom solutions that SAP now offers as standard. In such cases, moving to the public cloud can eliminate unnecessary complexity. However, for gaps that truly matter, be realistic about the effort: extensive gaps can mean numerous side extensions or workarounds in the public cloud, which erodes the benefits of going standard.

Data and integration migration:

Regardless of edition, you’ll migrate your data to S/4HANA. In public cloud, data load might be slightly more constrained by strict interfaces and needing to fit SAP’s data template (since some customizing of fields isn’t available).

In private, data migration is more flexible because the system can be configured to closely resemble your legacy setup.

Also consider integration with other systems: if you have a complex integration landscape (point-to-point interfaces, custom BAPIs, etc.), these may need to be reworked for public cloud use with modern APIs or SAP Integration Suite.

Private cloud might let you retain some existing integration methods for continuity (though SAP still encourages modern, cloud-friendly integration).

Takeaway: Align your transformation strategy with the cloud model. If your organization is ready for a fresh start (and the business will invest time to redesign processes), the public cloud can be a catalyst for business transformation.

If your strategy is to “migrate then innovate” – i.e., move to S/4HANA first with minimal change, then gradually improve – the private cloud is more supportive of that approach.

Additionally, if you have a mandatory conversion path (such as tight downtime constraints or selective data migration requirements), verify that it is supported in the chosen model.

The private edition often provides more tools and options (e.g., selective data transition, phased rollout of regions or divisions) since it’s essentially your instance of S/4HANA.

Security, Compliance, and Governance

Both public and private editions of RISE with SAP run on enterprise-grade cloud infrastructure (SAP uses reliable hyperscalers like Azure, AWS, GCP, or their data centers with high security standards).

However, there are nuances in control and compliance that may influence your decision:

• Data Isolation & Compliance: A private cloud provides a logically isolated environment, which can help alleviate certain compliance concerns. Industries like banking, defense, or healthcare often prefer a single-tenant setup to ensure data segregation beyond the software level – even though public cloud tenants are separated by design, the private edition provides an extra comfort factor for auditors (and allows specific network security configurations, e.g., dedicated VPN tunnels, custom firewall rules unique to your instance). If your enterprise operates under strict data residency laws, note that both editions support regional hosting; however, the private edition allows you to select a specific cloud provider or data center to align with your regulatory preferences. Public cloud services meet high security standards (ISO, SOC, etc.) and are utilized by many large companies. Still, you won’t get to dictate certain security configurations – you trust SAP’s standardized controls. Check if any specific regulation (for example, certain government data handling standards) would necessitate a dedicated environment or special access protocols.
• User Access & Governance: In a public cloud, because it’s standardized, you may have fewer administrative tools available. SAP handles certain advanced BASIS-level accesses, not your IT team. This can be good (less risk of internal mistakes), but also means you rely on SAP for tasks you might previously do in-house. A private cloud often grants more administrative access (within the bounds of a managed service). For example, you may have access to the OS level for certain tasks or at least more influence on scheduling administrative activities if your governance model requires heavy internal control of the system; factor that in. That said, many CIOs appreciate offloading these responsibilities to SAP, allowing them to focus on higher-level tasks.
• Customization vs. Security: Interestingly, public cloud’s limitation on customization can be a security advantage – you cannot inadvertently introduce a vulnerability via custom code because you can’t modify core code. SAP ensures all tenants run only tested, standard code. In a private cloud, if you heavily customize, you’ll need to maintain your diligence (such as code scans and testing) to ensure security and stability. Enterprises with mature SAP security practices won’t find this an issue, but smaller IT teams might lean towards the safer default of the public cloud’s controlled environment.
• Audit and Reporting: Ensure you understand how audit logging, data access monitoring, and compliance reporting work in each model. SAP provides tools in both, but in private, you might have more flexibility to install third-party security tools or run custom audit programs. In public, you use what SAP provides. Most global enterprises will find that both models can be compliant, but private gives more levers to pull if needed.

Governance tip: No matter the edition, establish clear roles and responsibilities with SAP. In RISE contracts, SAP is responsible for many operational aspects (patching, backups, disaster recovery), but you should have oversight. Set up regular security reviews and SLA reviews.

In a private cloud, clarify responsibilities for tasks such as user provisioning and interface security. In public, be aware of SAP’s standard security patch schedule.

Ultimately, both options are secure – SAP stakes its reputation on that – but your internal risk tolerance and compliance checklist might align better with one or the other. If an auditor’s peace of mind is a deciding factor, involve your risk management team early to evaluate the cloud model against your enterprise policies.

Recommendations (Practical Tips for Decision-Making)

Choosing between RISE with SAP’s private and public cloud editions is a strategic decision.

Here are expert tips to guide CIOs and IT leaders:

• Assess Business Priorities: Begin with a clear-eyed assessment of what your enterprise truly needs from an ERP. If speed and standardization top the list (e.g,. you want quick benefits and a simpler IT landscape), lean toward the public cloud. If flexibility and continuity of unique processes are paramount, the private cloud may be a better option.
• Map Processes to Fit: Perform a fit-gap analysis against SAP’s standard processes. List out critical processes that won’t fit into the public cloud’s standard scope. Quantify how much effort or risk it would be to change them. A low number of gaps tilts in favor of public cloud; a long list of must-have custom processes suggests private cloud.
• Calculate 5-Year TCO: Model the total costs of each option for at least five years. Include not just subscription fees, but also implementation costs, support efforts, and potential upgrade efforts. This financial view often clarifies the trade-off. For example, public cloud might show lower cumulative cost unless heavy extensions are needed (which add cost). In contrast, private might seem costlier at first, but it becomes more cost-effective when you factor in benefits like reusing existing licenses via contract credits.
• Consider Your IT Team’s Strengths: If your organization lacks a large IT support staff or an SAP-based team, the public edition’s lighter administrative burden could be advantageous. If you have a strong internal SAP center of excellence that’s used to managing customizations and upgrades, it may comfortably handle the private edition’s demands.
• Evaluate Compliance Requirements: Engage your compliance and security officers in the decision-making process. If there’s any doubt that a multi-tenant environment meets your obligations, document those concerns. Often, SAP’s public cloud can satisfy most regulations; however, perception and audit comfort are also important considerations. A highly regulated enterprise might choose a private edition to more easily tick compliance boxes (even if technically public could suffice).
• Plan the Migration Path Early: Decide upfront if you’re going greenfield or brownfield. This will essentially determine the feasibility – a brownfield requires a private edition. If you choose greenfield but in a complex org, ensure the business is committed to process change (public cloud success hinges on business buy-in to standard processes).
• Negotiate RISE Contract Wisely: Treat the RISE contract as a flexible deal. Negotiate for what matters: e.g., ensure you have the right to scale user counts annually, lock in renewal price caps, and include necessary add-ons (BTP, Ariba Network, etc.) in the bundle to avoid later surprises. Whether public or private, don’t accept the first quote blindly – use SAP’s eagerness to move customers to the cloud as leverage for discounts or favorable terms.
• Learn from Peers: Seek out case studies or references in your industry. How are similar global enterprises deploying RISE? If a peer successfully migrates to the public cloud and shares lessons on overcoming limitations, that insight is gold. Conversely, knowing where public cloud falls short for someone (or where private cloud complexities bog down a project) can inform your plan.
• Pilot, if Possible: If feasible, conduct a pilot or proof-of-concept study. For example, implement a small, non-critical division on S/4HANA Public Edition to gauge how it handles your needs. Or run an upgrade sandbox of your system in a private cloud trial. Hands-on experience can validate assumptions about each model before full commitment.
• Think Long Term: Whichever model you choose, plan for adaptability. The cloud ERP landscape is evolving – SAP itself is investing in both editions. You might start in a private setting and later transition to a more standardized model as the product matures (or vice versa). Ensure your contract and architecture leave an “exit strategy” – e.g., data portability and clarity on what happens if you change course after the RISE term.

Checklist: 5 Actions to Take

Use this step-by-step checklist to kickstart your decision process:

1. Gather Requirements & Goals: Convene stakeholders (IT, business units, compliance, finance) to document what your enterprise needs from RISE with SAP. Rank priorities like cost savings, process flexibility, timeline, and compliance.
2. Conduct Fit-to-Standard Workshops: Engage with SAP or a partner to demo the standard processes of the S/4HANA Cloud public edition. Identify gaps where your current processes don’t fit. Simultaneously, assess how your custom enhancements would be handled in both private and public settings.
3. Estimate Costs for Each Option: Work with SAP or licensing experts to get detailed quotes for both editions. Include projected implementation services. Populate a side-by-side budget (subscription fees, one-time migration cost, 5-year total). This will highlight financial differences and key cost drivers.
4. Evaluate Technical Impact: Have your enterprise architecture team review integration, data volume, and customization implications. For the public cloud, list the required extensions or integrations and verify their feasibility. For private, confirm infrastructure sizing and any limitations. Ensure you can live with the limitations of your chosen model (e.g., no ABAP modifications in public, or the need to stay up-to-date in private).
5. Make an Informed Decision & Roadmap: Synthesize the findings – which option aligns best with your strategic goals and risk tolerance? Present the comparison to executive leadership for buy-in. Once decided, develop a clear roadmap (including a timeline and project phases) for the move to RISE with SAP, along with an internal change management plan. Ensure the plan addresses any identified gaps (e.g., providing extra training for users when transitioning to standard processes, or allocating resources for an upgrade when opting for a private solution).

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FAQs

Q1: Can a large enterprise use the Public Cloud edition if we have lots of customizations?
A: It’s possible, but expect significant work to simplify or rebuild those customizations. The public edition thrives on standard processes – heavy customization is a red flag. Many large enterprises opting for public cloud embark on business process reengineering. If your customizations are core to your business advantage and you’re not ready to let them go or recreate them via extensions, the private edition is likely a better fit.

Q2: Which is more cost-effective in the long run, Private or Public?
A: For many scenarios, the public cloud edition is more cost-effective due to lower subscription fees and less need for custom development and maintenance. You save on infrastructure and lengthy upgrade projects. However, “cost-effective” also depends on value delivered: if the public cloud can’t handle critical requirements and forces expensive workarounds, those costs (or lost opportunities) could tilt the equation. The private edition might have a higher sticker price, but it could save costs by leveraging existing investments (e.g., reusing configurations, avoiding staff retraining on new processes). Always compare the total cost of ownership relative to what you gain from each model.

Q3: How often will our system be updated in each model?
A: In the public cloud, SAP will update your system on a fixed schedule, typically quarterly. You’ll receive new features and fixes automatically, with minimal downtime, and you must be prepared for them. In the private cloud, you decide when to schedule major upgrades (within SAP’s support window). You might only upgrade once every year or two (or even up to five years), depending on your policy. Minor patches (for security or legal changes) will still be released routinely in both models, but major functional updates are customer-driven and will be implemented privately.

Q4: We have an existing SAP ECC system – can we convert it directly to RISE public cloud?
A: Not directly. A system conversion (brownfield) to S/4HANA is only supported in a private edition environment (or on-premise). The public cloud requires a reimplementation. That means if you choose public, you’ll be extracting and migrating data, as well as configuring from scratch in the new system. Companies seeking a technical conversion route should opt for RISE Private Edition. Often, large enterprises with an extensive SAP history take the private route to retain much of what they’ve built, then gradually move toward standardization.

Q5: Do both editions support our global operations and integrations?
A: Yes, both can support global enterprises, but how they do so differs. The public edition supports multiple languages, currencies, and localizations for many countries – it’s designed for global use, especially for subsidiaries or mid-sized operations. The private edition can run the full SAP localization library and even industry solutions, making it suitable for complex global corporate requirements (e.g., multiple company codes, business units with distinct needs). Integration is possible in both, but in public you’ll use modern API-based integrations (no direct database access or custom exits). In private, you have more integration options (including possibly reusing some existing interface programs). If you have mission-critical third-party systems tightly integrated, evaluate how easily those integrations can be replicated with each model. In most cases, standard interfaces (IDocs, APIs) work fine in both. It’s more about the nuances of custom integration, which again ties back to the customization discussion.

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