Adidas opted to upgrade their ERP system to SAP S / 4HANA, moving it to the cloud with AWS rather than using RISE with SAP, the lift-shift-and-transform service launched by the German vendor earlier this year. year.

Apparently unbeknownst to SAP, AWS has confirmed that it is now the sports brand’s preferred cloud provider for SAP workloads. As part of the deal, Adidas, which achieved approximately $ 23 billion in revenue in 2020, will migrate its SAP environment to AWS and implement a modern SAP S / 4HANA platform.

the Introducing press said that running these workloads in the cloud “would allow Adidas to digitize core business processes across its value chain to deliver better consumer experiences, become a more data-driven business and support new business models such as direct-to-consumer sales ”.

“By committing to cloud infrastructure, we have the scalability and elasticity we need to manage the seasonality of our business during peak demand and support the expected growth of our e-commerce business in the years to come. come, ”said Markus Rautert, senior vice president of Adidas. president, technology activation, in a preconceived statement.

“Deploying SAP environments on AWS isn’t just about transforming our technology, it’s about transforming business opportunities and using AWS’s wide range of cloud capabilities to drive efficiencies and bring us closer to consumers. . “

SAP wants to integrate its large on-premise ERP user base into the cloud, if only because subscription revenues give it higher margins. Such is his will, he launched RISE with SAP earlier this year, after SAP lowered its sales forecast in 2020, which erased 28 billion euros from its value.

The program promises to simplify migrations by giving customers a “shake hand” behind which it would deal with third-party service providers.

It appears the Adidas deal was made outside of that deal, with neither the sportswear brand, SAP or AWS providing any further comment.

According to analyst website AppsRuntheWorld, Adidas is currently using an ECC 6.0 environment, the latest version of SAP’s ERP system before the S / 4HANA in-memory system was released in 2015.

According to published information, Adidas is expected to take advantage of AWS technologies that directly compete with SAP’s portfolio.

These include advanced analytics capabilities, data science, and business reporting. Adidas plans to create a cloud-based data lake on AWS, to help it “gain visibility into its internal and consumer-facing operations to deliver new insights into businesses and consumers.”

Adidas also plans to use Amazon SageMaker, a machine learning environment, to help developers and data scientists quickly build, train and deploy machine learning models.

The sports brand also intends to use AWS to run “complex workloads” for design teams around the world to “modernize large-scale 3D design capabilities”. He hopes this will speed up the design and creation process, reduce costs, and allow greater collaboration with consumers and designers.

SAP has its own data lake technology in Data Lake IQ, as well as the Leonardo analysis system and the SAP Fiori machine learning environment. ®


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