As the clock ticks toward SAP’s 2027 deadline to migrate to its next-generation ERP platform, S/4HANA, tensions are rising in boardrooms across the globe. According to new analysis from Basware, a growing disconnect between CFOs and CIOs is threatening to derail transformation projects that are vital to enterprise compliance and competitiveness.
The looming shift impacts more than 22,000 companies worldwide. Yet, Gartner data shows that 61% of SAP users still haven’t licensed S/4HANA.
SAP will be cutting off support for its legacy ERP systems ECC and R3 in 2027.
“Every month of delay brings greater compliance risk, uncertainty and escalating costs,” said Mark McCarthy, CRO of Basware. “Forward-thinking enterprises are acting now—extending their ERP strategy with specialist solutions that align to SAP’s clean core principles.”
ERP Migration: High Stakes, High Costs
Migrating to updated versions is nothing like upgrading iPhone software. Migrating to updated ERP versions is both costly and complex. Large enterprises can spend between $100 million and $500 million over several years to fully modernize their ERP systems.
The scale of investment is creating friction between CFOs, who worry about ROI and financial risk, and CIOs, who are focused on legacy system challenges and data integrity. The stakes are amplified by broader economic uncertainty and the growing burden of global compliance mandates.
“For some, SAP S/4HANA is just a technology migration. But forward-thinking enterprises are taking the opportunity to drive real, wide-scale transformation, focusing on ROI, simplifying their ERP landscape and establishing a clean digital core,” said McCarthy.
Bridging the Gap with Automation and AI
Despite differing perspectives, one area of alignment between finance and IT leaders is artificial intelligence. According to Basware, 75% of CFOs support greater investment in AI to automate critical finance processes, including e-invoicing and regulatory compliance—functions that are central to the success of S/4HANA migrations.
Enterprise Success Stories Highlight Strategic Value
Many companies are taking proactive steps to prepare for 2027.
Christophe Boden, VP of Shared Services and Continuous Improvement at industrial minerals group Imerys, said: “We needed a state-of-the-art process to complement our Shared Services Centres rollout and prepare the implementation of SAP S/4HANA. Basware emerged as the ideal solution provider to digitize our AP operations and drive process efficiencies.”
North American manufacturing giant Mauser has achieved significant time and cost savings by integrating Basware with its existing SAP setup. The company reduced non-PO invoice approval time from 3.6 days to 1.6 days and cut manual PO-invoice matching by 90%.
Consultancy Collaboration Accelerates Migration
To meet growing demand for migration support, Deloitte and Basware have expanded their strategic partnership, launching a joint Center of Excellence. The collaboration combines Deloitte’s finance and compliance expertise with Basware’s automation platform to help clients modernize their ERP systems ahead of the 2027 cutoff.
With a $100 billion transformation market in motion, the urgency to act is clear. But unless CFOs and CIOs can bridge their differences and align on shared outcomes, many organizations risk falling behind.
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