Building a powerful, flexible, and cost-effective analytics environment comes with a lot of considerations, not the least of which is what combination of data tools will deliver the most bang for your buck as your organization looks to modernize its data approach. Companies want to consolidate their SAP data as efficiently as possible when making the push to modernize, while tapping into all the exciting analytical capabilities of the modern data stack.
Let’s take a look at two models for how organizations are modernizing their SAP data approach. The first is a hybrid model in which SAP Datasphere handles all SAP data, while non-SAP data is delegated to Snowflake. The second model relies exclusively on Snowflake as an analytics platform, entrusting the centralized cloud platform with all data, SAP or otherwise.
Both models come with their own unique pros and cons, and there is no one-size-fits-all approach that will suit all organizations’ needs. That being said, a side-by-side comparison of each approach makes it clear that one model offers more overall benefits to organizations looking to fully modernize their data analytics platform.
The Hybrid Model Makes SAP Data Integration Easy at the Cost of Data Disunity
A hybrid model using SAP Datasphere for your organization’s SAP data and Snowflake for non-SAP data comes with immediate benefits during the integration stage.
Because SAP Datasphere is a proprietary SAP tool, it offers predefined SAP models, which are accessible and familiar to SAP users, providing a jump-start for operational reporting on SAP data. Consequently, it simplifies integration by supporting native connectivity while enabling real-time and operational analytics directly on SAP data.
However, the potential drawbacks of a hybrid approach are considerable. One of the key promises of the modern data stack is unity, and a hybrid model sacrifices a centralized approach for the short-term convenience during the integration stage.
Because this approach splits your data workflow across multiple platforms and relies on the specialized structure of SAP Datasphere, it also leads to fragmented analytics architecture, higher overall complexity and costs, limited flexibility for non-SAP data, potential performance bottlenecks, and reduced customization options.
The Snowflake-Only Model Delivers a Truly Centralized Analytics Environment with Minor Growing Pains
Unlike the hybrid model, using Snowflake for both SAP and non-SAP data potentially means more initial challenges during the integration stage, with the long-term benefit of providing total data unity—along with the synergy, flexibility, and efficiency that comes with total data unity.
Because Snowflake is not a proprietary SAP tool custom-built to work with SAP systems, it requires more complex planning during the integration stage, if your current data architecture is heavily reliant on those SAP systems. The challenges of integration are off-set to a large degree by SNP Glue, Fivetran, and Matillion, which together reduce the complexity of the migration process with near real-time replication. Even so, the convenience of a proprietary SAP tool is undeniable.
That being said, once integration has been achieved, the efficiency and power of a fully-centralized data approach through Snowflake outclasses that of the hybrid model. A single analytics platform (Snowflake) reduces data silos, enabling cohesive, enterprise-wide data management and analysis, especially for organizations that have non-SAP data systems in place already.
The long-term benefits are enormous: near real-time data availability, greater customization and flexibility, lower complexity, expanded data integration, future-ready architecture, and cost-efficiency. At the cost of some initial integration challenges, the Snowflake-only model is truly built to scale and delivers on the promises of a centralized modern data platform in a way that a hybrid model simply cannot.
Hakkōda Helps You Build the Modern Analytics Environment Your Organization Needs
Though the pros and cons speak for themselves, both models we have discussed have merit. While the Snowflake-only model is ideal for many organizations, due to the synergy and scalability it provides after the integration phase, the hybrid model may be right for your organization, if your company relies heavily on SAP systems currently, especially if your company has no non-SAP systems in its current data platform.
Whatever model your organization chooses to pursue, Hakkoda’s Snowflake certified experts are here to support your data innovation journey. We have deep expertise with both SAP systems and Snowflake, and our experience in facilitating data migration processes will ensure your organization stays agile even while implementing a new and complex data platform.
If you’re ready to build the data analytics environment that will transform your organization’s operations and catapult you into the modern data space, let’s talk today about how Hakkoda can support you in your journey.
