Understanding the post-implementation challenges of cloud ERP: An SAP S/4 HANA case

Mohammed, Fawwaz

Understanding the post-implementation challenges of cloud ERP: An SAP S/4 HANA case

Thesis / Dissertation

2026

Publisher

University of Cape Town

Department

Department of Information Systems

Faculty

Faculty of Commerce

Abstract

Enterprise Resource Planning (ERP) systems are critical in streamlining operations, improving data accuracy, and enhancing decision-making through centralised information. Globally, 50–60% of organisations utilise ERP systems, with large enterprises investing up to USD 10 million per implementation. Cloud computing has transformed the ERP landscape, offering greater flexibility, efficiency, and agility. However, despite these advantages, many organisations face significant postimplementation challenges, such as integration issues, user resistance, and data security concerns. These challenges hinder the realisation of expected benefits. Understanding these challenges is essential to ensuring the long-term success of cloud ERP initiatives. This study examined two large organisations that completed SAP S/4HANA Cloud implementations using different deployment models. This approach allowed a comparative analysis to answer the research question on post-implementation challenges of cloud ERP. Data was collected through a qualitative approach using semi-structured interviews. Furthermore, a six-step thematic analysis was used to analyse the data to explore patterns and themes. In addition, a coding matrix was used to explore relationships between those themes. Insights from the pre-implementation and implementation phases provided context for analysing post-implementation challenges. Furthermore, the study identified four key post-implementation challenges of cloud ERP: operational, management, organisational, and IT. The results revealed configuration limitations, integration complexity, and reporting constraints, particularly within SAP S/4HANA public cloud environments. Limited customisation and user resistance hindered adoption, while data control and authorisation concerns persisted. Despite these challenges, both organisations viewed the implementation as successful, supported by ongoing change management and training initiatives.