What is SAP S/4HANA Embedded Analytics?
With the rise of digital business and the emergence of the millennial workforce, expectations for analytics applications have changed. Therefore, business buyers and users need solutions such as SAP S/4HANA embedded analytics. That is, they need solutions which are simple to acquire and use. This will help them gain a greater understanding of their business and increase their revenue.
What is SAP S/4HANA Embedded Analytics?
SAP S/4HANA Embedded Analytics is SAP’s next-generation analytics capability which can be achieved within SAP S/4HANA. With this, the user community, IT Team, and the developers can perform real-time analytics using large transaction data. Millions of rows and large numbers of tables can be processed on the fly.
It is a Concept, Content and Toolset to enable Embedded (built-in) Analytics, Real-time Operational Reporting, and Smart Business Cockpits etc. It uses the technology of SAP ABAP Core Data Services (referred to as CDS) to create Virtual Data Models (Representation of operational data).
Additionally, it provides forward-looking tools which offer user-friendly access such as SAP Fiori for Embedded Business Intelligence, Reporting Client, Query Builder, Query Browser, SAP Lumira, and SAP Business Objects Enterprise/Cloud for Strategic Business Intelligence which are building blocks for embedded analytics.
Traditionally separate systems were used to meet the needs of transactional and analytical requirements. SAP S/4 HANA offers an integrated transactional and analytical data platform to process complex analytic queries as a harmonious data collection.
Why Embedded Analytics?
Let’s take an example of the marketer exploring customer behaviour through analytics functionality embedded within their marketing automation platform or, say, the sales director creating predictive models of sales activity within their CRM tool.
As per a recent survey they want more users engaged and they want it integrated. They want analytics integrated into the everyday processes and workflow of the organization, hopefully leading to a better analytical culture.
Nowadays, analytics has moved beyond just simply reporting and dashboarding. Companies these days are looking for a more expansive suite of capabilities from interactive visualization and discovery, to data preparation, and, in some cases, things like predictive analytics as well.
When even the end user has access to all the transaction data, we can predict the areas to focus and places to invest. Therefore, sales and marketing will get real time access to scenarios and will help in engaging with the market more cohesively.
Embedded analytics users are performing better across this value chain of analytics. They have more adoption, engagement, and self-service.
So, ultimately, the goal is to get analytics more engrained within the culture and everyday workflow of the organization. This is an attainable goal with embedded analytics and the research really helps support that concept.
Benefits of SAP S/4HANA Embedded Analytics
As the competition is growing across market, companies are facing challenges at every aspect of time. However, embedded analytics helps Independent software vendors (ISV) to drive a competitive advantage. They view the addition of powerful analytics capabilities to basically super-charge their applications and provide a competitive advantage.
Enterprises, on the other hand, are much more focused on expanding existing customer relationships. This is because the company mission may have nothing to do with software, or technology of any kind. They look to embed analytics as an avenue for finding and acting on opportunities. This is done to increase their sales as well as increasing the existing customer base.
The differences over Standalone and Embedded are clear and prominent as compared to standalone ones. The employees working within the organization see real time results in the decision-making process resulting in increase in decision speed and large delta difference in the operating cost between both the systems.
Embedded Analytics gives more satisfaction to end-users as well as customers on the receiving end, which receive a custom user oriented and interactive experience, which in turn directly affect the revenue. The addition of embedded analytics can help accelerate those cross-sell and upsell opportunities.
So, a 12% average year-over-year increase in cross-sell/upsell revenue for Leaders as compared to completely flat for followers. Moreover, leaders saw almost three times the increase in average deal size through the incorporation of embedded analytics. In addition, they also saw more than three times increase in customer renewal rate.
Companies were able to deliver very real and attainable performance benefits through embedded analytics.