What is the difference between R/3 and S/4 in SAP?

SAP Online Classes provides Best SAP training Online based on current industry standards that helps attendees to secure placements in their dream jobs at MNCs. SOC is one of the most credible ERP SAP Online training provider, offering hands on practical knowledge and full job assistance with basic as well as advanced level ERP SAP Implementation Training. At SOC ERP SAP training Online is conducted by subject specialist corporate professionals with 14+ years of experience in managing real-time ERP SAP projects.

What is the difference between R/3 and S/4 in SAP?

Answer 1

Praveen Kumar

SAP Consultant, Enterprenuer

The question could be asked as what is the difference in SAP R/2, SAP R/3, SAP ECC, SAP Business Suite on HANA, SAP S/4HANA and SAP S/4HANA on cloud?

Actually some of these are just the version of the SAP ERP system e.g. SAP Main frame based ERP system was called SAP R/2.

In 1997, when SAP moved to client server, it is called SAP R/3 (3 Tier Architecture). Then for some duration, it was also called MySAP business suite (the same ERP).

Then SAP launched a new release with 6.0 and it is rebranded as ECC (ERP Core Component).

Then SAP launched HANA database and later moved its ERP product to HANA. Then the ECC (the ERP product) is renamed to S/4 HANA.

If you dont want S/4 HANA but still want to use HANA, you can use SAP Business Suite on HANA, which is a version just before S/4 HANA and after ECC 6 EHP7.

Then S/4 HANA is also available on cloud and it is called S/4 HANA cloud. It is almost same as on premises with some more restrictions.

In a nutshell, these are different versions of SAP ERP system and naturally some functionality and under the hood functionality.

Here is a sequence:

SAP R/1?SAP R/2?SAP R/3 ?SAP ECC?SAP Business Suite on HANA?SAP S/4 HANA?SAPS/4 HANA Cloud

Answer 2


Software Developer @ SAP SE


R/3 was the Term used for ERP system. The term is no longer used. SAP R/3 is called now called SAP ECC(SAP ERP Central Component) .

S/4 is Suite FOR HANA. It is SAP Business Suite ( it has ECC,CRM,SRM,SCM and PLM Bundled together).The Modules are fully optimized for HANA platform. So it is called S/4 HANA.

I hope it gives some overview.

Best Regards,

Answer 3

Nagarjuna Kamireddy

S/4 HANA Finance will be released this coming March and the rest of the Suite will follow. Whilst I suspect that S/4 HANA ERP will be relatively soon, the more specialist applications will likely still be some time away. If you are embarking on, or in the process of, an ERP implementation, then you need to think about how you embrace S/4, what your roadmap is, and what, for example, your reporting and analytics strategy is. You need to build for the future, not for yesterday.

Leave feedback about this

  • Rating