Modernising defence with SAP S/4HANA

SAP S/4HANA offers a powerful platform to address these challenges, enabling defence organisations to modernise their systems and respond more effectively to the demands of today’s complex environment. With advanced capabilities such as real-time logistics, equipment tracking and NATO interoperability, SAP S/4HANA with the SAP Defence and Security (D&S) industry solution is uniquely positioned to meet the specific needs of the defence sector. It is in this context important that the Armed Forces consider and define SAP's Defence and Security (D&S) Industry solution, as part of their operational combat solutions equal with weapons, ammunition etc., as they will find that the use of SAP D&S can be a game-deciding advantage for them in battle.

At Deloitte, we have a proven track record of globally helping defence organisations navigate these transformations, ensuring that every system upgrade translates into real operational impact. Deloitte has a strategic partnership with NATO for the implementation of S/4HANA and works closely together with the NATO organisation on S/4HANA and the Defence Solutions on a global level.
 

Addressing the Defence sector’s unique challenges

Defence organisations operate in one of the most complex and demanding environments, requiring systems that can adapt to rapidly changing conditions. This includes transitioning quickly between peacetime and crisis modes, with quick changes into active operations, and managing vast and intricate logistical networks.

For example, deploying personnel to forward positions involves activating individuals and ensuring the corresponding logistical chain — vehicles, weapons, and equipment — moves in sync. Similarly, in a NATO-aligned environment, interoperability with allied IT systems is essential to ensure effective collaboration and resource sharing across borders.

How SAP S/4HANA empowers Defence organisations

SAP S/4HANA with the SAP Defence and Security industry solution brings a suite of capabilities designed specifically for the requirements of the defence sector:

● NATO interoperability: SAP S/4HANA’s standardised architecture enables seamless data exchange and collaboration between NATO forces, ensuring that operations are coordinated, and resources are optimised so that organisations can communicate using the NATO Capability Framework. This level of integration (LOGFAS interface) is critical for joint missions, where equipment compatibility and shared intelligence can determine mission success.

● Real-time logistics management: By providing real-time insights into supply chains and equipment readiness, SAP S/4HANA and the Defence and Security solutions ensure that the right resources are available when and where they are needed. This capability streamlines deployment processes, whether it is moving personnel to NATO exercises or supporting long-term missions abroad.

● Flexible organization and structure: SAP’s Defence solution contains a very flexible option to set up the organization with associated staff/positions in multiple structures divided after peacetime, exercise structure, operations and war. Which makes it possible to adjust the organisation and structure very quickly and it also supports simulations on the different structures and states.

● Overview of costs on individual units: With SAP's introduction of Force Element, it is possible to use this element for overview and control of costs at Unit level. With the structure and the level of division there is supported using Force Element, it is possible to make very precise and structured cost statements on different levels that can be further processed in Analytics tools.

● Automated equipment tracking: Defence organisations can rely on SAP S/4HANA and the Defence and Security solutions advanced tracking capabilities to monitor the movement of critical assets, from vehicles and weapons to supplies. This automation reduces human error, enhances efficiency, and provides decision-makers with the data needed to make informed, time-sensitive choices.

● Disconnected deployment options: For environments where constant connectivity is not guaranteed, such as naval ships or remote forward operating bases, SAP S/4HANA with the Defence and Security solution can operate in standalone modes. This ensures that critical systems remain functional and operational autonomy is maintained between Homeland and Battleships, deployed Bases and similar even in the most challenging conditions.
 

A future-ready Defence sector

Modernising ERP systems is essential for maintaining operational readiness in today’s complex security environment. SAP S/4HANA provides the Defence and Security solution defence organisations with a robust foundation, offering real-time insights, streamlined logistics and seamless collaboration across borders to meet both immediate and future demands.

Deloitte brings extensive expertise in navigating the complexities of SAP S/4HANA migrations for the defence sector. By combining a deep understanding of mission-critical needs with proven methodologies, we ensure that transformations are both seamless and impactful. From adapting SAP S/4HANA to function in disconnected environments to enabling NATO interoperability, our tailored approach aligns technology upgrades with strategic operational goals.

Through close collaboration with SAP and other technology leaders and partners, we deliver solutions that address the unique challenges of defence organisations. From initial assessments to full-scale implementations, we focus on making each step efficient and effective, ensuring systems are optimised to support critical operations.

With Deloitte as your partner, transitioning to SAP S/4HANA and the SAP Defence and Security solution becomes more than a system upgrade — it’s an opportunity to enhance resilience, agility and mission readiness. Together, we’ll ensure that every organisation is equipped to tackle today’s challenges and prepared to lead in the evolving defence landscape.