Hitachi High-Tech’s Bold Transformation with SAP S/4HANA Greenfield Implementation Background and Motivation

Hitachi High-Tech, a long-time SAP customer, chose a bold path to address customer demands for faster and simpler operations. With a mission to streamline customer processes, they opted for a greenfield SAP S/4HANA transformation—replacing their legacy systems rather than modifying them. This approach allowed Hitachi High-Tech to eliminate complexity and start fresh with a system tailored to their needs.

The Challenge of Legacy Systems

Operating on SAP ERP since the 1990s, Hitachi High-Tech’s system had amassed almost 9,000 custom add-ons, developed over the years to meet specific requirements. While these add-ons enabled unique functionality, they also created challenges for flexibility and adaptability. Recognizing the need to remove these barriers, Hitachi High-Tech embarked on a greenfield journey, reducing add-ons to a streamlined 800, with a focus on only the most essential capabilities.

The Greenfield Approach and SAP BTP Integration

Hitachi High-Tech implemented a two-tier model:

1. SAP S/4HANA Cloud Public Edition – For international sales offices, providing simplified ERP functionality for smaller operations.

2. SAP S/4HANA Cloud Private Edition – For larger, domestic manufacturing operations, delivering more robust ERP capabilities.

SAP Business Technology Platform (SAP BTP) served as a critical integration hub, enabling smooth data exchange between the two tiers while keeping the SAP S/4HANA core clean and uncluttered.

Benefits and Impact

The greenfield implementation provided several key advantages:

• Agility and Efficiency: By reducing customizations, Hitachi High-Tech gained a more flexible and responsive system that could scale with business needs.

• Seamless Upgrades: Side-by-side development on SAP BTP facilitated faster upgrades, keeping employees up-to-date with the latest functionality.

• Enhanced Customer Processes: SAP BTP enabled the company to develop smart, efficient digital processes without altering the core system, accelerating innovation.

Conclusion

Hitachi High-Tech’s greenfield transformation demonstrates a powerful use case for SAP’s solutions, focusing on speed, simplicity, and scalability. As Takuya Sakai, the general manager of Hitachi High-Tech’s Digital Transformation Business Group, noted, SAP has evolved from a software provider to a strategic transformation partner—supporting their mission to drive business innovation and deliver exceptional customer experiences