The SAP S/4HANA Retail & E-Commerce Migration That Fell Apart: How a Missing RACI Matrix Led to Chaos

The High-Stakes SAP Project That Went Off the Rails

Michael Davis, an experienced SAP Project Manager, was tasked with leading a massive SAP ECC to SAP S/4HANA migration on RISE for a global Retail & E-Commerce company. The company operated both brick-and-mortar stores and a fast-growing online marketplace, requiring seamless integration between inventory management, customer relationship management (CRM), financials, and supply chain logistics.

Michael followed SAP ACTIVATE meticulously, ensuring proper workshops were held, sprints were executed, and governance structures were in place. However, he failed to establish a RACI matrix at the outset, leading to ambiguity in responsibilities, confusion over handoffs, and frustration among team members.

With dozens of stakeholders involved—including internal IT teams, external SAP consultants, subcontracted data migration experts, and third-party integration specialists—lack of role clarity became a major issue. By the time leadership realized the extent of the dysfunction, consultants had already started quitting, deadlines were missed, and the project was millions of dollars over budget.

The Specific Issues That Led to Failure

1. Order Fulfillment & Inventory Data Was Mishandled

• The migration required seamless integration between SAP S/4HANA and the company’s Order Management System (OMS).

• The internal IT team assumed that the SAP functional consultants were responsible for inventory data reconciliation, while the consultants assumed the Retail Ops team would verify the data.

• Result: The inventory master data was not properly validated, leading to incorrect stock levels in stores and online. Customers were placing orders for items that were actually out of stock, causing brand damage and revenue losses.

2. Handoffs Between Finance & E-Commerce Teams Were Fumbled

• The project required real-time financial reporting for both in-store transactions and online payments.

• Since there was no RACI matrix defining ownership, the SAP Finance team was unaware that they needed to align with the E-Commerce team on tax and compliance configurations.

• Result: During testing, finance discovered that online transactions were not properly taxed, requiring a last-minute scramble to reconfigure the system—causing major delays in the deployment timeline.

3. Customer Loyalty & Promotions Data Was Overlooked

• The company’s loyalty program was a major driver of customer retention, but the Customer Engagement (CX) team wasn’t involved early enough in the data migration discussions.

• The SAP Customer Data Cloud team assumed that the legacy CRM vendor was handling customer loyalty points migration, while the legacy CRM team assumed that SAP consultants were handling it.

• Result: During UAT, millions of customer loyalty points were missing, causing customer service complaints and emergency data remediation efforts that delayed go-live.

4. High Consultant Turnover Due to Frustration

• Without clear expectations or ownership of key workstreams, the SAP consultants and third-party vendors became frustrated with the constant scope changes and blame-shifting.

• Consultants felt like they were being held accountable for deliverables outside their defined scope—but no one had a documented agreement about responsibilities.

• Result: Several key consultants quit the project midway, further delaying progress and forcing the company to onboard new resources late in the implementation phase.

The Core Issue: No RACI Matrix & Poorly Defined Handoffs

Had Michael established a RACI matrix from the beginning, these failures could have been avoided. Retail & E-Commerce SAP projects involve multiple interconnected workstreams, and the lack of clarity on who is Responsible, Accountable, Consulted, and Informed (RACI) made every phase more chaotic than necessary.

How a RACI Matrix Would Have Prevented These Issues:

1. Clear Ownership for Data Migration:

   • Explicitly assigning who is responsible for validating inventory, sales tax configurations, and loyalty program data would have eliminated gaps.

2. Defined Handovers Between Teams:

   • A RACI would have documented clear handoffs between Finance, E-Commerce, and Order Fulfillment, ensuring that integrations were aligned early.

3. Increased Consultant Retention & Morale:

   • Clearly defined responsibilities would have prevented overwork and scope creep, keeping consultants engaged and on track.

The Role of a Gantt Chart in Retail SAP Migration Projects

Beyond defining roles, a Gantt chart would have provided a clear roadmap of key activities and dependencies. In Retail & E-Commerce, where sales events, seasonal promotions, and high transaction volumes are common, it’s critical to align technology rollouts with business priorities.

How a Gantt Chart Would Have Helped:

• Identifies Critical Path Dependencies – Prevents last-minute surprises by mapping out which tasks must be completed before others can begin.

• Ensures Timely Testing & Go-Live Readiness – Tracks system integration points to ensure inventory, finance, and customer loyalty systems are properly aligned before launch.

• Supports Risk Management & Issue Tracking – Allows for proactive risk assessments by highlighting areas where delays could impact the entire project.

Best Practices for SAP Success in Retail & E-Commerce

To avoid the failures seen in Michael’s project, SAP Project Managers in Retail & E-Commerce must adopt the following best practices:

1. Establish a RACI Matrix During the Planning Phase – Assign clear responsibilities before work begins.

2. Map Key Business & IT Dependencies with a Gantt Chart – Align system cutovers with business cycles and seasonal demand spikes.

3. Define Handoff Processes Between Finance, IT, & Retail Ops – Ensure E-Commerce, in-store operations, and finance are in sync.

4. Set Up Regular Cross-Team Syncs – Conduct structured governance meetings to review the RACI matrix and track interdependencies.

5. Leverage a Project Management Platform Like ezRACI – Use real-time dashboards to monitor responsibilities, handoffs, and risks proactively.

Conclusion: A RACI Matrix & Structured Planning = SAP Project Success

Michael’s project didn’t fail because he lacked technical expertise—it failed due to poor project governance. While SAP ACTIVATE provided the methodology, the absence of a RACI matrix and structured project tracking led to poor communication, fumbled handoffs, and mass consultant turnover.

At ezRACI, we help Retail & E-Commerce companies manage their SAP transformations with pre-built RACI templates, interactive Gantt charts, and real-time tracking tools. Don’t let unclear roles sink your SAP project—implement ezRACI today for a streamlined, successful migration.

Start using ezRACI now and ensure your SAP project stays on time, on budget, and frustration-free.