If a business operates globally with a dozen different disconnected ERPs spread around the world on a local level, information is bound to be lost. Not to mention, there is no possibility for real-time reporting on a larger scale.
This is where a 2-tier ERP comes in. Lighter and initially meant for small or medium size enterprises, the technology behind a tier-2 ERP allows large enterprises to connect their subsidiaries to their headquarter tier-1 ERP. These larger solutions usually also fit more complex production sites, which typically have higher requirements to their business processes. On the other hand, smaller divisions and subsidiaries often need a software fit for their simpler needs, that communicates seamlessly with their head office, and even sister companies.
It is natural for your business headquarters to run on a highly-customizable and resource-intensive Tier 1 ERP system, which allows management and the C-suite to have a wider view of subsidiaries and make educated decisions based on global data reports.
In the meantime, satellite locations in a global company are more likely to use less resource-heavy Tier 2 ERP systems and use them to manage day-to-day activities, planning and processes. Each subsidiary has its own procurement, manufacturing, sales, finance, and warehouse processes. Service orders, plant maintenance or projects might also join the initial scope.
Having a tier-2 ERP like SAP S/4HANA Public Cloud in satellite location can be beneficial for many reasons, some of which are specific to different businesses.
SAP S/4HANA Public Cloud provides a complete cloud-based, complete ERP solution covering finance, sales and distribution, procurement, production extended warehouse management, quality management, service orders projects and many more functionality.
With the help of S/4HANA Public Cloud, businesses can adapt to changes at light speed, manage both internal and external resources quickly and build predictive data models. S/4HANA Public Cloud could be used for more than just resource planning. It can improve almost any aspect of a business through data analysis.
Regardless of whether you are looking to optimize your venture's internal or external processes, S/4HANA Public Cloud can do so much more. Combining multiple ERPs, and providing real-time analytics is just the surface of what this could do for your business.
Reach out today to premier SAP implementation specialists like be one solutions, who can help to develop a two-tier strategy with SAP S/4HANA Public Cloud for all your company’s complex needs.< Back to all Partner news
Our latest insights and thoughts