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2 July 2025

Don’t Panic! SAP GRC Modernization Is Actually a Huge Opportunity

The SAP GRC community has been through the wringer lately, and frankly, it's understandable why. Mixed signals and evolving messaging from SAP around their governance, risk, and compliance (GRC) suite have left organizations scrambling to understand what's changing and what it means for their investments. Questions continuously crop up in our client conversations and some common ones include:

•    “Is the product going to be retired?”
•    “Are there going to be forced cloud migrations?"
•    “Will my transformation project be really expensive?”
•    “Will my organization lose years of customization work?”

Working directly with SAP throughout their GRC evolution, we've gained clarity on the reality behind the industry speculation. While we can't tell you everything we know due to our confidentiality agreements with SAP, we can tell you this: Don’t panic. What's actually happening is much more manageable than the industry chatter suggests.

Far from being the disruptive overhaul everyone anticipated, these changes open up new possibilities for thoughtful GRC modernization. In this blog, we'll break down what we can share about SAP’s timeline, your options, and how to turn this situation to your advantage.

What’s actually happening with SAP GRC modernization?

First things first: SAP GRC is not disappearing. It’s being re-versioned, which means your existing investment will remain protected. The second point – and this is an important one – is that the upgrade path is going to be much simpler than you may have feared.

The new version of GRC – known as GRC 2026 – will form a single co-hosted environment, where functional components remain separate, but the technical architecture is standardized. This environment will host six different capabilities: Access Control, Process Control, Risk Management, Audit Management, Business Integrity Screening, UI Masking, and UI Logging.    

While you may need an architecture change (Hana Database) to move to GRC2026, it's not the operationally disruptive overhaul that many anticipated. You can evolve your existing setup and protect the customizations and processes you've already built rather than starting from scratch. The co-hosted architecture will also make maintenance and future development easier. Furthermore, SAP has confirmed that the first release of GRC 2026 will only have minimal enhancements and that the 2027 migration deadline has effectively been extended,   which relieves any potential stress even further.

So why is this such good news?

Think of the extended timeline as a reprieve. No longer do you have to worry about making reactive decisions to meet artificial deadlines. Instead, you have the time and space to think clearly about your SAP GRC future, assess your current state thoroughly, and plan improvements in the context of your organization’s priorities.

Let’s consider all the possibilities available to you which weren’t there when you thought the migration was going to be a rush job:
•    You can evaluate what works and what doesn’t in your current setup.
•    You can seize the opportunity to innovate and expand automation – transforming manual processes rather than simply migrating them.
•    You can align SAP GRC modernization with broader digital transformation initiatives.
•    You can assess all options, rather than just sticking with the first viable solution available.

So, what are your options now? Well, the choice is yours. If you’d prefer to stick with on-premise solutions of SAP GRC, then these will remain fully supported. But if you’re ready to explore cloud options, then you can choose private cloud and also public cloud in the form of multi-tenant SaaS. 

How does this translate into an SAP GRC modernization opportunity?

The main opportunity is to reimagine how GRC processes can work better for your organization. Rather than simply migrating existing workflows, you now have the space to introduce automation where it makes sense, optimize processes that have been pain points, and build a more efficient compliance framework.

As with your migration decision, the context of your organization will be key here. Every business and industry vary in size and regulatory landscape: what might be right for a multinational bank will vary substantially from what a mid-sized manufacturing company needs. You’ll also need to remember that your core SAP investment may be complemented by third-party solutions.

How do I get clarity on the best way forward?

So, where does this leave you? In the best possible position, really. 

You've gone from crisis mode to strategic planning mode, with the luxury of time to make thoughtful decisions rather than reactive ones. But this isn't just about GRC. Your entire ERP landscape is evolving, and your governance and controls solutions need to align with that broader transformation. 

The key is outlining your strategic agenda for the next 3-5 years, and then choosing solutions that support that vision, rather than letting tool decisions drive your strategy. Some organizations will stick with what works, others will seize automation opportunities, and many will find hybrid approaches. Whatever your choice, it should be grounded by your broader strategic goals.

Turnkey’s SAP GRC Modernization Assessment is designed to filter out the noise and show you exactly what makes sense for your situation. We assess your current processes, identify opportunities for automation, and highlight which capabilities should stay SAP native and which might be better served by external tools. Our assessment is vendor-agnostic and is fully focused on aligning your SAP GRC modernization strategy with your business reality and growth plans.

Ready to turn GRC uncertainty into a strategic advantage? Get in touch with the Turnkey team today to discuss your GRC Modernization Assessment.