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Economic Validation: Analyzing the Economic Benefits of Moving from SAP ERP HCM to SAP SuccessFactors Solutions As shown in Figure 5, our conservative models predicted a 107% ROI over a five-year period. Figure 5. Expected 5-year ROI Achieved by Migrating to SAP SuccessFactors Source: Enterprise Strategy Group, a division of TechTarget, Inc. Considerations Enterprise Strategy Group (ESG)’s models are built in good faith upon conservative, credible, and validated assumptions; however, no single modeled scenario will ever represent every potential environment. Each organization has a unique set of considerations that will determine how much of an impact SAP SuccessFactors will have for their organization. ESG recommends that you perform an analysis of your situation and goals and then consult with your SAP representative to understand and discuss the potential benefits that may be achievable for your organization. Conclusion Today’s organizations know that they need to reduce complexity and streamline operations across all areas of the business. A company’s most important asset is the people that work for it and a successful business must be able to quickly hire, train, and grow the capabilities of its people while giving them the tools they need to better focus on their job. SAP ERP HCM plays a vital role in consolidating employee data for functions like time & attendance management, payroll, and downstream ERP business processes, but requires IT support and presents unnecessary complexity for tasks such as hiring, onboarding, learning, performance appraisals, and other HR-led operations. Organizations understand the benefits of moving these operations to cloud-based services but often struggle to get past the first steps around collecting information, architecting, planning migrations, and getting approvals. Choosing the right HR platform and partner are the two most important decisions that a company can make to ensure a successful transition. Enterprise Strategy Group (ESG) validated that, since migrating operations to SAP SuccessFactors, customers were able to provide a better experience for their employees, onboard and grow talent faster, significantly reduce 13

Analyzing the Economic Benefits of Moving from SAP ERP HCM to SAP SuccessFactors Solutions - Page 13 Analyzing the Economic Benefits of Moving from SAP ERP HCM to SAP SuccessFactors Solutions Page 12 Page 14