INTELLIGENT TECHNOLOGY

SOFTWARE

According to a new research report published by the company, Brazilian enterprises are navigating a complex transition as they manage regulatory change, system maturity and new AI capabilities. To modernise their use of SAP, they need to coordinate and act on these priorities without disrupting core operations.

The 2026 ISG Provider Lens SAP Ecosystem report for Brazil finds that many large organisations are entering a new phase of SAP implementation, following migration to SAP S / 4HANA, that is increasingly focused on incorporating AI into workflows and processes. Companies are making sustained investments in data quality, automation and system efficiency to optimise business outcomes.

“ Brazilian enterprises are navigating a complex transition as they manage regulatory change, system maturity and new AI capabilities simultaneously,” said Bill Huber, Partner, ISG Digital Platforms and Solutions.“ To successfully modernise their use of SAP, they need to coordinate and act on these priorities without disrupting core operations.”

Large enterprises in Brazil are concentrating on stabilising complex SAP landscapes while expanding the use of embedded AI tools through SAP Business AI and other avenues. They are introducing SAP’ s Joule generative assistant and process-level agents to automate routine activities and support real-time decision-making.

At the same time, organisations are improving data structures and reducing system complexity to support new AI capabilities. This reflects a broader priority to enhance predictability and extract greater value from existing SAP investments.

Midmarket companies are adopting more selective transformation approaches or postponing transitions, influenced by cost, projected return and maturity of existing infrastructure. Many are prioritising standardisation and shorter implementation cycles while adopting automation and SAP Business Technology Platform( BTP) with a cleancore approach.

Brazil’ s Tax Reform, beginning implementation this year, is expected to impose prolonged regulatory pressure on organisations of all sizes and require ongoing adjustments to systems. These conditions increase the importance of flexible architectures that support continuous adjustments and incremental improvements.

Across enterprise segments, integrated platforms and unified data environments are becoming central to enabling AI adoption at scale. Companies are adopting SAP BTP to support modular system extensions and are expanding the use of AI-powered predictive monitoring and automated processes in application management to improve performance and reduce disruptions.

These efforts are raising expectations for data accuracy, traceability and consistent system operation, ISG says.

“ For many Brazilian enterprises, wellgoverned adoption of AI is the main thrust of technology strategy, and extending and optimising SAP environments goes hand in hand with this effort,” said Alciomara Kukla, lead author of the report.

The report also explores other trends affecting SAP adoption in Brazil, including growing demand for recurring services to support continuous updates and increasing emphasis on structured data environments to enable scalable AI use.

The report evaluates providers across multiple SAP-related categories, including transformation services, managed services, AI integration and human capital management support, reflecting the broad range of enterprise priorities shaping Brazil’ s evolving Digital Transformation landscape strategies. •

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