Driving growth during ERP migrations

As the 2027 deadline for SAP ECC end-of-support approaches, more than 22,000 global enterprises are navigating complex, multi-year upgrades to SAP S/4HANA, with some projects already costing between $100 million and $500 million.

 

These migrations are more than IT upgrades; they represent strategic business transformations that test budgets, resources and leadership alignment.

 

S/4HANA promises a modernised ERP core, but it does not deliver every capability that finance teams need, and one area that repeatedly tends to get overlooked is invoice processing. Ignoring it creates compliance risks, drives inefficiencies and undermines ROI.

 

Integrating specialist functions, such as invoice processing, is important, but even more important is to use the right dedicated tool for the right job. The ERP can’t be expected to do everything.

 

To succeed, CIOs and CFOs must move past siloed priorities and align on shared outcomes that combine automation, compliance and continuity.

 

 

Invoice processing: the hidden risk in SAP migrations

During large-scale ERP programs, CIOs naturally prioritise the ‘bigger’ technology areas such as analytics and data migration.

 

In contrast, invoice processing is often perceived as a transactional back-office function and slips down the list, but this perception is misleading.

 

The danger of neglecting accounts payable (AP) during migration is twofold, as it introduces unnecessary complexity. When AP workflows are retrofitted late in the process, organisations are forced to customise S/4HANA, which adds technical debt and a risk during rollout. But it can also create compliance vulnerabilities as global e-invoicing mandates multiply, manual or fragmented processes expose enterprises to penalties, audit failures and late-payment fines.

 

However, despite the urgency, 61% of SAP customers have not yet licensed S/4HANA and as a result, many will face time pressure that forces them to prioritise speed over process quality. Without specialist invoice automation, migrations risk delivering higher costs, slower approvals and weaker visibility into spends.

 

These hidden costs can erode the very ROI business leaders expect from a multi-hundred-million-dollar ERP project.

 

 

Aligning CIOs and CFOs on digital transformation

CIOs are battling with outdated infrastructure and poor data quality, while CFOs are under pressure to justify massive technology investments while delivering measurable business value. Each department has different priorities.

 

Successful migrations depend on bridging this divide, and CIOs and CFOs must define “value” together. That means moving beyond system uptime or budget adherence and identifying outcomes that matter across both functions, such as optimised cash flow and stronger regulatory compliance.

 

AI strengthens the case for collaboration with AI to ROI research, showing that 75% of CFOs now advocate increased AI investment in financial processes. AI-enabled invoice automation can eliminate manual tasks, resolve exceptions faster and provide predictive insights into working capital. These capabilities not only drive operational efficiency but also improve decision-making at the enterprise level.

 

Establishing a committee with representation from finance, IT and operations ensures that priorities are aligned throughout the migration lifecycle. Instead of treating invoicing as a technical feature, organisations can position it as a driver of financial resilience and a critical success factor in ERP transformation.

 

 

Building future-ready finance

With the ECC support deadline looming, every month of delay brings mounting risk. SAP talent is becoming costlier, compliance requirements are tightening, and project backlogs are growing. Enterprises must find ways to reduce risk and accelerate deployment while safeguarding financial operations.

 

Integrating invoice automation early is one of the most effective ways to achieve this, as decoupling AP from ERP allows organisations to minimise customisations, reduce disruption and shorten migration timelines. Automation delivers the global compliance coverage that enterprises need to navigate increasingly complex regulatory environments.

 

ROI should be tracked through clear metrics like approval speed, data accuracy, cost-per-invoice and compliance adherence. When automation is embedded within the migration strategy, these improvements can be realised even before the ERP system goes live, which helps create early wins that reassure both CIOs and CFOs.

 

Looking further ahead, emerging AI capabilities will push invoice processing into a new era, instead of relying solely on rules-based matching, large language models will interpret unstructured data and resolve exceptions autonomously. Predictive analytics will anticipate cash flow needs and optimise payment timing.

 

Intelligent workflows will self-correct based on historical patterns and external economic signals. In this future state, invoicing will evolve from a compliance-heavy task to a predictive engine for financial decision-making.

 

The path forward is clear: enterprises that align CIO and CFO agendas and leverage AI will not only strive to meet the 2027 deadline but also unlock lasting ROI from their ERP transformation.

 

---

 

Barrett Schiwitz is CIO of Basware 

 

Main image courtesy of iStockPhoto.com and Pakin Jarerndee