SAP data archiving: How to reduce S/4HANA migration cost

Author: SAP Data Archiving Team at TJC Group

SAP S/4HANA migration becomes more expensive when organisations move unnecessary data into the new HANA database. SAP data archiving helps reduce database size, HANA memory needs, migration runtime and downtime. Read on to understand how a leaner data footprint can lower migration costs and improve post-go-live performance.

Introduction

SAP S/4HANA migration is not only a technical upgrade. It is a major business decision that affects cost, risk, system performance, compliance and long-term IT flexibility.

Many organisations begin their migration planning by focusing on the migration approach itself. They compare brownfield, greenfield and selective data transition options, alongside timelines, partners, tools and project scope. All of these are crucial aspects to consider. However, one factor is often underestimated in the early stages: the amount of data that will be carried into the new S/4HANA environment.

The larger the database, the more effort is required to move that data. More data means higher HANA memory requirements, longer conversion runtimes, more testing, longer backup windows and higher post-migration operating costs. In simple terms, every unnecessary record that travels into S/4HANA adds a cost somewhere.

This is where SAP data archiving makes a difference.

A structured data archiving strategy helps organisations migrate only the data they truly need. Completed, obsolete, rarely accessed or legally expired data can be archived or deleted before the migration, depending on business and compliance requirements. For example, you do not want to move old company codes into S/4HANA when older business areas have merged or been closed. This reduces the active database size and helps create a cleaner, leaner SAP landscape before the move.

For companies planning SAP S/4HANA migration, the question is not only “Which migration path should we choose?” It is also “What data do we really need to migrate to S/4HANA?”

Why data volume matters in S/4HANA migration

The size of the SAP database has a direct impact on migration cost.

During an S/4HANA migration, data must be analysed, prepared, converted, moved, tested, validated and eventually managed in the new environment. If the source system contains years of unnecessary data — inactive company codes, obsolete customer and vendor records, old attachments, logs or completed transactional data — the migration becomes heavier than it needs to be.

This affects the project in several ways:

• A large database can increase the technical conversion runtime.
• It can extend the downtime window during cutover.
• It may require a larger HANA memory tier, which increases infrastructure and licence costs.
• It creates more data for teams to reconcile, test, secure and govern after go-live.

The problem continues after migration as well. If unnecessary data is moved into S/4HANA, the organisation starts its new environment with a larger cost base than required. HANA memory is expensive, and once data growth continues, the system may quickly move towards the next memory tier.

A better approach is to treat migration as a data clean-up opportunity. Before moving to S/4HANA, organisations should assess what data is still needed in the active system, what can be archived, what should be deleted and what must remain accessible for legal, tax, audit or business purposes.

This is the foundation of a data-led migration strategy.

Reduced database size before migration

The most direct benefit of SAP data archiving is a smaller active database. Years of historical data accumulated in SAP systems are one of the main drivers for running a data archiving project before migrating to S/4HANA. Instead of migrating decades of historical transactions, only active and relevant data remains in the productive system.

At TJC Group, we focus on the “big win” tables first. We identify the largest tables in SAP ECC using transaction DB02, then find the matching archive objects and configure them in the Archiving Sessions Cockpit (ASC). The ASC automates data archiving, so it only needs to be configured once before it runs continuously. The largest tables tend to be technical, followed by finance and then SD/MM, though this is not a strict rule.

A reduced database size helps in several practical ways:

• Smaller migration scope. The project team does not need to carry every old record into the new system.
• Easier technical preparation. The source system is cleaner and simpler to work with.
• Shorter migration times. Less data needs to be moved across.
• Lower infrastructure needs. The target S/4HANA environment can be right-sized.
• Less migration risk overall. Fewer records mean fewer potential issues.

This matters particularly in brownfield projects, where all data tends to move across unless action is taken before migration. If old transactional data, obsolete master data and inactive organisational structures are not addressed early, they are likely to move into S/4HANA as part of the conversion. That can increase cost and create additional clean-up work after go-live.

Data archiving allows companies to handle this before the migration, when it is usually easier and more cost-effective.

SAP provides a standard Data Volume Management (DVM) report to review data growth for various selected objects in SAP systems. This report is a useful starting point for assessing which data should be migrated to S/4HANA. At TJC Group, we use our own internal DVM analyser in combination with SAP’s DVM report. After a thorough analysis, we can identify the areas with the greatest opportunity for space savings and provide detailed recommendations on the tables and archive objects that will deliver quick wins.

We also recommend the SAP Readiness Check, a free tool for all SAP customers with an active SAP support or maintenance contract. The SAP Readiness Check scans the current SAP database and produces reports on several aspects, including the current database size, the top tables and the potential for data archiving gains.

Find out how much you could save with SAP data archiving and quantify the ROI before moving to S/4HANA. Open the archiving calculator →

Lower HANA storage and memory costs

SAP S/4HANA runs on the HANA database. HANA is powerful, but it is also a premium database environment. The larger the database, the more memory and infrastructure capacity an organisation needs. This is one of the main reasons why data archiving has a direct impact on S/4HANA migration cost.

HANA memory is commonly managed in data tiers following a “T-shirt” size system. As data volume grows, organisations may need to upgrade to larger hardware T-shirt sizes. Moving up to a larger infrastructure size is not always straightforward, and it will increase both capital and operational expenditure.

By archiving unnecessary data before migration, organisations can reduce the amount of data that needs to be loaded into HANA. This can help right-size the initial S/4HANA environment and avoid exceeding the current T-shirt size.

The cost benefit is not limited to the migration project. A leaner HANA database can reduce ongoing storage, memory, backup and administration costs. It also gives the organisation more room to manage future data growth before additional memory is needed.

This is why data archiving should not be treated as a one-time technical activity. It should be part of a broader data volume management strategy before and after S/4HANA migration.

Faster migration timelines

Time is one of the biggest cost drivers in any SAP migration project.

The longer the migration takes, the more resources are required. More consultants, more internal team involvement, more testing cycles, more reconciliation work and more business disruption can all increase the total cost of the project.

Data archiving helps shorten migration timelines by reducing the amount of data that needs to be moved and processed.

In a system conversion, a smaller database can reduce conversion runtime. In selective data transition, it can help define a cleaner data scope and reduce the complexity of what data needs to be migrated. In greenfield projects, it can support a clearer distinction between active data that moves into the new system and historical data that should remain accessible through a legacy data access or decommissioning solution.

A leaner database also simplifies testing. When less unnecessary data is carried forward, the project team can focus on validating the data that matters most to current business operations. This can reduce the time spent analysing old records, resolving avoidable data issues and reconciling historical information that may no longer be operationally relevant.

The result is not just a faster technical migration. It is a smoother project with fewer avoidable complications.

Reduced downtime during conversion

Downtime is a major concern for organisations moving to S/4HANA.

During the final conversion and cutover phase, business operations may be affected. For global organisations, this can be especially difficult because there may be limited windows where downtime is acceptable. A longer downtime window can increase operational risk and place pressure on IT, finance, supply chain, customer service and other business teams.

Data volume plays a direct role here.

The more data that must be processed during conversion, the longer the system may need to be unavailable or partially restricted. By archiving unnecessary data before migration, organisations can reduce the amount of data involved in conversion activities and help shorten the downtime window.

This is particularly important for large SAP environments with many years of transactional history. Old financial documents, completed sales and purchase records, obsolete customer and vendor data and redundant organisational units can all add volume without adding operational value to the new system.

Archiving this data before migration can reduce the technical load and lower the risk of unexpected delays during cutover. It also improves confidence because the project team is working with a more controlled and better-understood data set.

Better SAP system performance after migration

Data archiving does not only reduce migration cost. It also improves the quality of the post-migration SAP environment.

When an organisation moves to S/4HANA with a large and unmanaged database, the system may still face performance challenges. HANA is fast, but that is not a reason to carry unnecessary data indefinitely. If data growth remains unchecked, tables continue to grow, memory usage increases and performance issues may appear over time.

Data archiving supports better system performance by keeping the active database lean. In many cases, reducing unnecessary active data can improve operational efficiency and reduce resource consumption for backup, maintenance and certain reporting workloads.

In S/4HANA, certain tables and technical data areas can grow quickly. Attachments, change documents, logs and other high-volume records may consume significant database space if not managed properly. Regular housekeeping and archiving help prevent this data from inflating the system unnecessarily.

A leaner SAP system is easier to operate. It is also easier to monitor, tune and scale. This gives IT teams more control over database growth and helps avoid costly surprises after go-live.

Easier backup and recovery

Large databases create larger backup and recovery challenges. If an SAP database contains years of unnecessary active data, backup windows can become longer. Recovery can also take more time because there is more data to restore. This creates operational risk, especially for organisations with strict recovery time objectives.

Data archiving helps reduce this burden. By moving data out of the active database into archive storage, organisations can shorten backup times and simplify recovery planning. The active database becomes smaller and easier to manage.

This becomes even more important during S/4HANA migration. If legacy data is left behind, the organisation still needs secure, compliant access to it. If legacy systems remain online only for historical access, they continue to create cost, security and compliance risks.

Planning archive access and system decommissioning early can help avoid these issues.

Ensuring compliance throughout the migration

A common concern during migration projects is maintaining access to historical records required for tax reports, financial audits and legal retention obligations. SAP business users are often apprehensive about losing access to legacy data during system migrations. Whilst this concern is understandable, if SAP ILM principles are correctly applied and data archiving is carried out properly, archived data remains available on SAP S/4HANA through standard SAP transactions.

TJC Group’s archiving solutions help organisations:

• Preserve archived information securely
• Maintain controlled access to archived data
• Demonstrate compliance with retention requirements
• Ensure historical information remains available after migration

With manual archiving, as with any manual and repetitive task, human errors can occur. The Archiving Sessions Cockpit eliminates this risk. Retention requirements are configured once, and the ASC automates data destruction in a controlled and compliant manner. It allows organisations to automate archiving and data destruction without disrupting business processes. Through automation, the ASC significantly reduces database size, ensures compliance with data retention policies and frees up valuable system and human resources.

How data archiving fits into each S/4HANA migration approach

The role of data archiving depends on the migration approach, but it is relevant in every scenario.

Brownfield migration

In a brownfield or system conversion project, the existing ECC system is converted to S/4HANA. This approach is often faster and less disruptive, but it can carry forward historical data, customisations and technical debt.

Data archiving is particularly useful here because it reduces the active database before conversion. By archiving unnecessary transactional data and improving master data quality, organisations can reduce HANA memory needs, shorten the migration timeline and lower disruption during go-live.

Without archiving, old data and redundant complexity may simply move into S/4HANA.

Greenfield migration

In a greenfield migration, the organisation starts with a fresh S/4HANA system. Usually, only selected open or active data is migrated using SAP Migration Cockpit.

In this scenario, data archiving may play a smaller role during the migration itself, because historical data is often excluded from the new system. However, it becomes important for managing legacy data after migration.

Archived or historical data may still be needed for legal, tax, audit or business purposes. Instead of keeping old SAP systems running indefinitely, organisations can use a decommissioning solution to preserve controlled access to historical information whilst reducing legacy system cost.

Selective data transition (SDT)

Selective data transition sits between brownfield and greenfield. It allows organisations to keep certain historical data, leave other data behind and make targeted changes during migration.

Data archiving supports selective data transition by helping companies prepare the source systems before migration. Unnecessary data can be archived or deleted, whilst relevant historical data can be retained based on business need. This helps reduce project complexity and supports a cleaner transformation.

In all three approaches, the core principle remains the same: the less unnecessary data an organisation moves into S/4HANA, the smoother and more cost-effective the migration becomes.

How TJC Group supports SAP data archiving projects

Don’t migrate unnecessary data to S/4HANA. Archive it, govern it and keep it accessible. TJC Group helps organisations reduce migration scope, lower costs, minimise risk and build a cleaner, more sustainable SAP landscape.

TJC Group helps organisations plan and execute SAP data archiving projects before and after S/4HANA migration.

The process usually starts with a Data Volume Management assessment. This helps identify the largest tables, relevant archiving objects, data growth patterns and potential savings from archiving. It also helps estimate what can be achieved with and without automation.

This early analysis is important because it gives the organisation a clearer view of the migration scope. It also supports better decisions on what should be archived, deleted, migrated or retained for later access.

TJC Group also provides SAP data archiving services for ECC and S/4HANA environments, along with data deletion and ILM support. For companies with complex archiving requirements, automation can make a significant difference. The Archiving Sessions Cockpit helps automate the data archiving and deletion process, reducing manual effort and improving reliability.

For access to legacy data after S/4HANA migration, TJC Group’s Enterprise Legacy System Application (ELSA) supports system decommissioning by enabling organisations to retain access to historical SAP and non-SAP data without keeping old systems fully operational. This helps reduce long-term cost whilst supporting legal, tax, audit and compliance needs.

Use TJC Group’s SAP archiving calculator to estimate potential savings before your S/4HANA migration.

Conclusion

S/4HANA migration cost is not only driven by software, consulting, infrastructure and project timelines. It is also driven by data.

If an organisation moves unnecessary data into S/4HANA, it increases database size, HANA memory needs, conversion runtime, testing effort, backup requirements and long-term operating costs. This can make the migration more expensive than it needs to be.

SAP data archiving helps reduce this burden. It keeps the active database lean, lowers HANA storage and memory costs, shortens migration timelines, reduces downtime and improves system performance after go-live. It also supports better backup, recovery and compliance management.

For organisations preparing for S/4HANA, data archiving should not be treated as an afterthought. It should be part of the migration strategy from the beginning.

A data-led approach starts with a simple question: what data does the business really need in the new system? Once that is clear, the path to S/4HANA becomes cleaner, more predictable and more cost-effective.