Unless you’ve been asleep since the last Bush administration, you probably know that employers are having a hard time finding the right people for jobs that require technology skills. Qualified people mean they have the necessary skills and, increasingly, relevant experience, turning the concept of an entry-level job into an oxymoron. The technical skills at stake go far beyond coding. Coding is no longer a concern for employers, as the vast majority of good jobs now utilize software platforms for some or most functions. The company is 21cent business of the century.
As I document America’s skills and talent gap, I explore hot areas like cybersecurity and data science, new software platforms like Salesforce and Workday, and hundreds of other software programs that provide digital capabilities to specific industries. We have focused on as-a-service companies. or Job Description Examples: Financial Hospital (Epic), Insurance Agency (Applied Epic), Home Health (WellSky), Construction (Procore), Pharmaceutical (Veeva), Sales and Marketing (Hubspot), Customer Service (Zendesk), Software Development. ( Atlassian ), low-code app development (Pega), cloud computing (AWS), and digital transformation itself (ServiceNow).
However, Salesforce and Workday are not the most widely used software platforms, nor are they even close. The platforms with the most users are enterprise resource planning (ERP) systems such as SAP and Oracle. One reason is that they are much older. SAP and Oracle were founded in his 1970s. Another is that ERP systems are designed to handle a complete suite of business functions, including accounting, budgeting, project management, and supply chain management. As a result, most large companies and organizations adopted Marc Benioff’s ERP long before his Salesforce came into the spotlight. SAP has over 425,000 clients in 180 countries, which is nearly three times the number of clients served by Salesforce.
SAP clients are always in need of SAP-certified talent to maintain, adapt, and enhance their on-premises ERP platforms. SAP currently offers 145 certifications, many of which are specific to individual modules. However, major changes have dramatically increased the need for SAP talent. Partly due to the influence of companies like Salesforce, businesses now buy and use software differently. Rather than installing and hosting on-premises instances, SAP is moving clients to the cloud through the S/4HANA platform. The benefits for clients of running his ERP in the cloud are numerous, including scalability, feature availability, security, and cost savings. But moving your entire ERP to the cloud is no easy task.
As the 2027 deadline approaches for SAP to migrate its legacy ERP systems to S/4HANA, customers have some important decisions to make. S/4HANA works both on-premises and in the cloud, but the benefits of cloud deployment are steadily increasing, and clients with too long a delay can face issues with outdated infrastructure. Therefore, for most clients, moving to S/4HANA is synonymous with moving to the cloud.
All of this requires talent. Back in 2020, a survey by the Americas SAP User Group found that only a small percentage of SAP consultants were trained and prepared for the coming tsunami of S/4HANA operations. SAP has since responded with its Partner Talent Initiative, offering two to three weeks of free online bootcamp training to SAP partners and aspiring consultants. However, the gap in human resources remains large. According to a new survey from the Americas SAP User Group, 25% of users say a lack of talent is holding up their entire project, and 49% report that their S/4HANA is understaffed.
It’s not just the clients. According to the SAP User Group, SAP’s talent shortage is impacting SAP partners, such as system integrators and consultancies, at least as much as it does its clients. Jeff Scott, CEO of the SAP User Group of America, said: Register:
We will all feel the pinch of that skills gap. If you are not yet considering moving to S/4, be aware that there may be some confusion related to skill gaps with external partners in being able to plan for the transition. That’s definitely something to consider positively.
Thomas Michael, founder and CEO of Michael Management, a leading provider of SAP training, agrees:
According to our survey of thousands of SAP professionals, 4 in 10 say they don’t have enough SAP training to do their jobs. Not only does this highlight critical gaps in professional development, but it also presents an opportunity for organizations to rethink their training strategies. The future of SAP lies in being able to provide professionals with the knowledge and tools they need to embark on his S/4HANA upgrade journey.
What are the options for filling the SAP talent gap? Universities are unlikely to be able to help. In an article a few years ago about Texas A&M’s efforts to launch courses in cybersecurity, history of higher education – A paper of record from American institutions of higher education came to the following conclusion: But those tools may be outdated five or 10 years from now. ” The implication is that updating curricula to reflect short-term technology needs may not be a worthwhile pursuit because such needs change. This is the mainstream way of thinking at universities. And even if a college or university or even a bootcamp offers his S/4HANA training, it won’t do much to bridge the growing experience gap.
The most promising solutions are those that provide not only training but also experience. I’m talking about apprenticeships. Apprenticeships are jobs that have training and experience built into them, and you can hire an apprentice without both. As I discuss in my new book, apprentice nation, Apprenticeships have the potential to not only reinvigorate socio-economic mobility but also fill talent gaps across hundreds of sectors. SAP is no exception.
If apprenticeships are the best solution for the SAP ecosystem, where will they come from? Don’t focus on SAP clients. It is unlikely that they will solve this problem themselves. In response to the rising costs of poor hires and increased employee turnover, employers are increasingly seeking fully qualified candidates. If candidates don’t check all the boxes, they won’t be considered. Wharton’s Peter Cappelli observes this phenomenon: “Employers are looking for more job candidates than ever before. They want their prospective employees to be able to jump right into a role without any training or preparation period. You have to already have the job to get it.”
My best guess is that new S/4HANA talent will come from one or more SAP partners who have decided to go into the business of providing trained and proven talent to their clients and other partners. is. By deploying newly trained talent to migration projects or directly to clients and partners through headcount expansion, enterprising SAP partners can stand out in a mature partner ecosystem and You can launch thousands of high-paying SAP careers by doing so.
Over the next few years, we expect SAP partners to launch new initiatives to provide trained and proven S/4HANA talent to SAP partners and clients. With so many clients and partners in need of talent, the opportunity is too vast to remain unfilled for long.
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