Which way after SAP ECC?

A two-page summary of a made-up company’s decision. Six choices priced over 15 years. The first date. The three numbers that would change the answer. It shows the format I use for every decision.

Example company is made up, not a client.

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Jacob Pearson provides management consulting. He is not a registered investment adviser, broker-dealer, CPA firm or law firm, and nothing here is investment, legal, tax or accounting advice.

Sample value dashboard

Illustration with sample data — not a client

$12.19MCheapest over 15 years: move to a cloud system. A cheaper support company is $12.23M, about the same (0.35% apart).

$9.09MCheapest over 10 years: switch to a cheaper support company.

Dec 31, 2026The first date. A 2027 switch needs notice to SAP and a signed contract by then.

What each choice costs over 15 years

Choice

Total cost in today's dollars, after tax. Shorter bar is cheaper.

15 years

10 years

Move to a cloud system (Microsoft Dynamics 365 Finance)

$12.19M

$10.10M

Switch to a cheaper support company (SAP ECC 6.0 stays)

$12.23M

$9.09M

Build your own, from an open-source ERP

$14.51M

$11.80M

Keep paying SAP (SAP ECC 6.0, SAP Enterprise Support)

$15.48M

$11.34M

Build your own, on open-source foundations

$17.82M

$14.75M

Upgrade to SAP's new system (SAP S/4HANA)

$18.16M

$14.14M

What would change the answer

$2.81MIf the cloud project costs more than this, switching support is clearly cheaper. The sample assumes $2.50M.

$449kIf SAP's 2027 fixes are worth more than this to you, switching support stops being cheapest. The sample prices them at nothing.

46 monthsA minimum contract term longer than this drops the 2027 cloud move from the cheapest three. The sample assumes none.

Example company: $250M revenue, 150 ERP users. The company is made up, not a client. Figures come from the made-up example in the full report; yours will differ. General information, not tax, legal or financial advice.

Jacob Pearson provides management consulting and training on the operations of organizations: people, process, software and AI. He is not a registered investment adviser, broker-dealer, CPA firm or law firm. Nothing on this site or in any proposal, deck, report, dashboard, newsletter or course is investment, legal, tax or accounting advice; an offer or solicitation of securities; a recommendation to buy, sell or hold any security, fund interest or asset; a valuation or fairness opinion; or an audit, review or attest opinion. No fee is contingent on a transaction, a capital raise or a valuation; any variable fee is tied only to operating value measured under a written attribution rule. Where Jacob has an interest in a product or service he discusses, he says so in writing. Example companies and case studies shown are made up. Targets and dashboard values are measured under a written attribution rule and are not guarantees of results. Talk to your own counsel, CPA and licensed adviser about legal, tax, accounting and investment matters.