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Ericsson Achieves 30% Cost Reduction One Year After Implementing SAP S/4HANA


SAP

Ericsson Achieves 30% Cost Reduction One Year After Implementing SAP S/4HANA

AI-driven insights and real-time data analysis are the next step for Ericsson in optimizing operations.

WALLDORF — SAP SE (NYSE: SAP) today reported that Ericsson achieved a cost-saving of 30% for its projects twelve months after introducing SAP S/4HANA, a modern end-to-end ERP solution suite. With this, Ericsson now aims to extend its streamlining of processes using AI-fostered analytics to the next phase of digitalization.

Ericsson, a global telecommunication services and information and communication technology leader with a presence in 180 countries and more than 94,000 employees, migrated to SAP S/4HANA in only 54 hours, establishing a new standard for large and complex system migrations. The organization is currently in the process of fine-tuning and automating its financial landscape, with real-time data analysis and AI-based insights within SAP software being the focus.

"We are looking forward to further optimizing and refining our processes," said Tobias Ralsgård, Head of Finance Digital Transformation at Ericsson. "The goal is to establish a more standardized, AI-driven, and automated financial environment, including real-time analysis and AI-enhanced fraud detection."

The strategic use of AI will play an important role in automating compliance and detecting fraudulent transactions by flagging suspicious activity and potential regulatory violations, further improving operational efficiency.

SAP S/4HANA’s continuous system updates, combined with the phased migration approach, allowed Ericsson to access the latest business tools without a full-scale rebuild. This enables the company to continuously evaluate new technologies, analyze operations in real-time, and maintain a competitive edge in a fast-evolving industry.

Looking ahead, Ericsson’s next initiative will focus on fully utilizing SAP S/4HANA’s standard functionalities, starting with finance, and is expected to be completed by the first quarter of 2026.


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