Rahul Bhatia, Director & SAP S/4 HANA Architect — Driving AI-Powered ERP Innovation, Redefining Public Sector Solutions, and Bridging Enterprise and Entrepreneurial Excellence

In this exclusive interview, we explore Rahul Bhatia‘s journey as Director and SAP S/4 HANA ARCHITECT at HCL, and Co-Founder of Nuaav. Rahul shares insights on AI-driven innovations in ERP systems like SAP S/4 HANA, strategies for seamless cloud adoption, and his vision for the future of AI-powered enterprise solutions. Discover how Rahul is transforming industries and bridging the gap between large-scale innovation and agile entrepreneurship.

How is AI transforming the landscape of ERP systems like SAP S/4 HANA, and what specific innovations do you see in the public sector?
                                             
AI is important in transforming ERP systems like SAP S/4HANA by automating processes, enhancing decision-making, and improving operational efficiency. In the public sector, these advancements are driving notable improvements in areas such as financial management, resource allocation, and service delivery.  With the latest release of SAP S/4 HANA Cloud Public Edition 2408, SAP has introduced AI-driven features that are designed especially for the public sector industry.  These include a substitution tool for managing budget documents, improved budget consumption tracking, and a new Budget and Payment Line Item Analyzer report. These tools enhance budget management and support better financial decision-making.

SAP has integrated AI-powered features into its Public Sector Management (PSM) suite, which includes tools for Grants Management, Budget Management, and Funds Accounting. One standout innovation is Joule, which is one of my favorites so far. It is an AI-powered assistant that enables users to interact with the system using natural language. This capability simplifies navigation and task execution, helping users access applications and retrieve information quickly. Early adopters of the Cloud Public Edition have reported that they can save up to 90% of their time when executing tasks.                                                                               

Can you share a success story where you implemented SAP S/4 HANA Public Cloud and leveraged AI to solve a significant challenge in an enterprise or public sector project?

In my current role as an SAP S/4 HANA Cloud Architect, I am leading a Public Sector Implementation for one of the biggest UK Councils where AI-driven capabilities are being implemented. Capabilities such as Goods Receipt/Invoice Receipt (GR/IR) AI-powered app which automates the reconciliation of goods received with supplier invoices, eliminating the need for manual matching. Traditionally, this process involves time-consuming and error-prone data entry. By automating these tasks, the app accelerates financial closing processes while ensuring greater accuracy, enabling public sector organizations to focus their resources on strategic activities.  In addition, below are some of the new functionalities that come with the SAP S/4 HANA Public Edition which I am leading to deploy for the Public Sector Organization.      

1. Joule AI Assistant
   Joule, a built-in AI assistant, uses natural language processing to help users navigate the system, retrieve information, and complete tasks more efficiently. This tool reduces training time for new users and minimizes reliance on IT support by offering contextual, real-time assistance.
2. Budget Document Automation
   An AI-driven substitution tool simplifies creating budget documents by automatically generating required values, reducing data entry errors, and ensuring consistent financial records.
3. Flexible Budget Tracking
   Organizations can configure budget consumption tracking based on specific parameters such as due dates or posting dates. This customization ensures precise budget monitoring and regulatory compliance, enabling better fiscal management.
4. Budget and Payment Analytics
   An advanced reporting tool provides detailed insights into budget allocations and payment histories, supporting better financial planning and resource management.                                                                                                                                                                

What key strategies do you employ as a Solution Director to guide organizations in adopting AI-driven cloud solutions while ensuring seamless integration and user adoption?                                   

As a Solution Director,  below are some of the key strategies that I am using to help organizations adopt AI-driven cloud solutions to ensure smooth integration of their business processes and improved user acceptance. Here’s a simplified approach:

1. Setting Clear Goals

• Define Business Goals: Understand what the organization wants to achieve with AI-driven cloud solutions.
• Involve Key People: Get business leaders, IT teams, and employees on board from the start.

2. Planning the Adoption

• Check Readiness: Assess the current technology and data systems to see if they’re ready for AI-driven solutions.
• Create a Plan: Develop a step-by-step plan that includes short-term wins and long-term goals.

3. Designing the Right Solution

• Customize the System: Tailor the solution to fit the organization’s specific needs.
• Ensure Compatibility: Make sure the new system works well with existing tools and software.

4. Supporting Users Through Change

• Offer Training: Provide easy-to-understand training sessions for employees.
• Build Support Teams: Identify tech-savvy employees to help others learn the new system.

5. Rolling Out the Solution

• Start Small: Test the system with a small group before launching it company-wide.
• Expand Gradually: Roll out the solution in phases to avoid major disruptions.

6. Keeping Data Safe

• Manage Data Well: Set rules for handling and protecting sensitive data.
• Secure the System: Use strong security measures to prevent cyber threats.

7. Improving Over Time

• Monitor Progress: Use dashboards to see how well the system is working.
• Gather Feedback: Ask employees for input on what can be improved.
• Stay Updated: Regularly update the system to take advantage of the latest AI features.

By following these steps, organizations can smoothly adopt AI-driven cloud solutions while keeping employees engaged and ensuring lasting success. 

As both a corporate leader at HCL and Co-Founder of Nuaav, how do you bridge the gap between large-scale enterprise innovation and agile entrepreneurial solutions?                                               

Bridging the gap between large-scale enterprise innovation at HCL and agile entrepreneurial solutions at Nuaav involves combining structure with flexibility through some of the key approaches:

1. Strategic Vision & Execution

At HCL, enterprise strategies focus on long-term growth, while at Nuaav, agility drives quick market testing. Balancing both ensures innovative ideas are scalable and impactful.

2. Resource Efficiency

Enterprises have vast resources, while startups operate lean. Using enterprise resources to accelerate startup projects while applying startup efficiency keeps both sides productive.

3. Culture & Team Empowerment

Corporate environments are process-driven, while startups thrive on creativity. Encouraging a culture of innovation across both fosters risk-taking and shared learning.

4. Customer-Focused Innovation

Enterprises build long-term customer relationships, while startups prioritize fast feedback. Merging these approaches ensures customer-centric, scalable solutions.

5. Tech-Driven Development

Enterprises have advanced tech infrastructures, while startups adopt emerging tech quickly. Combining both accelerates innovation and keeps solutions cutting-edge.

6. Strategic Partnerships

Enterprises leverage global partnerships, while startups use collaborations for quick growth. Aligning both unlocks broader opportunities and faster market reach.

By integrating these approaches, enterprise stability, and startup agility work together to drive continuous innovation and business success.

With AI increasingly embedded in SAP systems, what measures do you recommend to ensure data security, compliance, and ethical use of technology?             

As AI has recently taken over many solutions or is in the process of doing so, I certainly see organizations investing in data security, compliance, and ensuring ethical use of technology. SAP offers a range of solutions to address data security, compliance, and the responsible use of technology in its AI-powered systems. Some of  the Key offerings include:                                                                                                      

• SAP Cloud Identity Access Governance (IAG):  This tool manages user identities and access permissions, ensuring only authorized individuals can access critical data and applications. It helps organizations enforce security policies and comply with data protection regulations.                                                                                         
• SAP Enterprise Threat Detection: This system monitors SAP environments in real-time to detect and respond to security threats. It helps organizations protect sensitive data while meeting regulatory compliance standards.                                                                                                                                                                                 
• SAP Data Custodian: This service provides visibility and control over data stored in the cloud, ensuring compliance with data residency and privacy laws by tracking data access and transfers.
• SAP Sovereign Cloud Capabilities: Designed for industries with strict regulatory requirements, this solution offers secure cloud services that align with industry standards like NIST 800-53, ensuring data residency and controlled access.     

When it comes to the ethical use of AI technology, SAP has taken some initiatives that will help organizations deploy its latest ERP offerings powered by AI and ML. These are:   

• SAP Global AI Ethics Policy: SAP has established an AI ethics policy based on UNESCO’s recommendations. It focuses on transparency, fairness, accountability, and human oversight to guide AI development, deployment, and usage.                                                                                                                                                                           
• AI Ethics Steering Committee and Advisory Panel: SAP has created governance bodies that include internal leaders and external experts. These committees review AI technologies to ensure they follow ethical standards and responsible AI practices.                                                                                                                                             
• SAP AI Ethics Handbook: To help implement its AI ethics policy, SAP offers a handbook outlining best practices for ensuring responsible AI usage throughout the entire lifecycle of AI solutions, from development to deployment.                                                                                                                                                                                                                 

What future trends do you foresee in the evolution of ERP systems, particularly with the integration of AI and cloud technologies, and how should organizations prepare for them? 

The future of ERP systems will be shaped by advancements in AI, cloud technologies, and data integration. Businesses can expect ERP systems to automate repetitive tasks like financial reporting and inventory management using AI-powered features. Predictive analytics will provide real-time insights, helping companies make better decisions faster. Cloud-based ERP solutions will become the norm, offering flexibility and scalability, while hybrid models will support businesses needing secure on-premises data storage. User-friendly interfaces with personalized dashboards and AI-driven assistants will improve the overall user experience. ERP systems will also integrate with technologies like SAP BTP, IoT, blockchain, and robotics to enable real-time data sharing and efficient supply chain management.

As industries require more customized solutions, ERP vendors will offer specialized modules tailored to specific business needs. Security and compliance will remain critical, with advanced tools ensuring data protection. Lastly, sustainability features will become standard, helping companies track and reduce their environmental impact. To stay competitive, businesses should embrace these trends, invest in employee training, and adopt flexible ERP solutions that can evolve with technological advancements.