What is the impact of data governance on an SAP S/4HANA implementation?

Data governance plays a critical role in an SAP S/4HANA implementation because it fundamentally ensures data quality, availability, and compliance throughout the entire system lifecycle. Effective data governance establishes policies and standards that manage how data is collected, stored, processed, and used, thereby safeguarding the integrity and reliability of the data throughout its lifecycle.

By implementing strong data governance practices, organizations can achieve high-quality data that is accurate, consistent, and up-to-date, which is essential for making informed business decisions. Compliance with legal and regulatory requirements is also ensured, reducing the risk of data breaches and associated penalties. Additionally, data governance supports the availability of data, making sure that the right data is accessible to the right users at the right time.

This approach contrasts significantly with the other choices. For instance, unregulated data entry would likely compromise data quality and accuracy, leading to unreliable outcomes. Focusing solely on data storage solutions disregards the broader scope of data management and governance practices necessary for maintaining data integrity. Limiting user access based on function, while a component of data security, is not the primary focus of data governance and does not address overarching principles of data quality and compliance which extend beyond just access controls.