ERP transformations are complex undertakings that present several foundational challenges. A primary hurdle is achieving and maintaining alignment between business and IT (A), ensuring the technological solution delivers on strategic business objectives. Many customers also struggle with the initial phase, not knowing how and where to start their transformation journey (B), due to the complexity of options and the scale of the project. Furthermore, a lack of transparency into existing business processes and system landscapes (C) is a significant obstacle, making it difficult to define the project scope, identify areas for improvement, and plan the migration effectively. These three challenges are consistently identified as critical early-stage risks in transformation projects.

D. This is typically a motivator for undertaking a transformation (to gain better analytics), not a challenge during the project. Legacy systems can usually generate reports, albeit less effectively.

E. This is a potential negative outcome or consequence of a failed transformation project that disrupts operations, not a typical challenge encountered during the planning and execution phases.

1. SAP Activate Methodology Documentation: The SAP Activate methodology, the official framework for SAP S/4HANA implementations, directly addresses these challenges. The "Discover" and "Prepare" phases are specifically designed to help customers create a roadmap (addressing B), understand their current landscape through readiness checks (addressing C), and build a value-driven business case to ensure strategic alignment (addressing A).

Source: SAP Activate Roadmap Viewer, "SAP Activate Methodology for RISE with SAP S/4HANA Cloud, private edition," Discover Phase and Prepare Phase descriptions.

2. Official SAP White Paper on Transformation: SAP publications on digital transformation consistently highlight these issues. For instance, the white paper "The Live Business Imperative for Digital Transformation" discusses the need for a clear digital core and business model innovation, which presupposes overcoming a lack of transparency and knowing where to start. The entire premise is built on aligning IT capabilities with new business demands.

Source: SAP White Paper, "The Live Business Imperative for Digital Transformation," 2016, pp. 4-6.

3. Academic Research on ERP Implementation: Peer-reviewed studies on ERP implementation success factors corroborate these challenges. Research consistently identifies "clear goals and objectives" (related to B), "business process reengineering" (related to C), and "communication between business and IT teams" (related to A) as critical factors for success and, conversely, as major challenges when absent.

Source: Umble, E. J., Haft, R. R., & Umble, M. M. (2003). Enterprise resource planning: Implementation procedures and critical success factors. European Journal of Operational Research, 146(2), 241-257. (Section 4, "Critical success factors"). https://doi.org/10.1016/S0377-2217(02)00547-7