The Era of Test Automation: Why Companies Are Taking Notice

Why Are Companies Focusing on Test Automation?

In the digital era, software quality directly translates to business competitiveness. This is precisely why many companies are now focusing on test automation. Particularly for critical systems like ERP, test automation has become essential rather than optional.

With SAP ECC support ending in 2027, more companies are preparing for their transition to S/4HANA. During these large-scale migrations, test automation has emerged as a critical component for ensuring stable transitions.

Development Speeds Up, But Why Does Testing Lag Behind?

Over the past decade, development environments have evolved dramatically. From CI/CD, microservices architecture, and cloud technologies to AI-based development, what once took months can now be accomplished in days.

However, testing has struggled to keep pace with these advancements. Many companies still rely on manual testing, creating a significant speed disparity between development and testing processes.

What are the consequences of this imbalance?

• Delayed product releases

• Increased quality issues

• Reduced market responsiveness

In today's business environment, these issues can seriously undermine a company's competitive edge.

The Limitations of Manual Testing

Traditional manual testing comes with several inherent limitations:

Insufficient Test Coverage

Manual testing relies on sample data due to time and resource constraints, resulting in:

• Critical test cases being easily overlooked

• Difficulty in thoroughly testing complex business scenarios

• Inadequate verification of exception cases and edge conditions

Inconsistent Test Quality

Manual testing heavily depends on the tester's skills and experience:

• Test quality varies from tester to tester

• Repetitive tasks lead to human errors

• Knowledge and experience remain concentrated with individuals, making sharing difficult

Time and Cost Burden

Manual testing consumes substantial time and resources:

• Excessive personnel required for repetitive testing

• Extended testing cycles delay releases

• Rising labor costs continually increase testing expenses

Real-World Consequences of Manual Testing Limitations

Let's examine challenges several companies faced due to the limitations of manual testing.

🚨 Global E-commerce | Company A

A world-renowned e-commerce platform experienced serious issues after a payment system update:

• Problem: Failure to detect a bug causing transaction duplication under specific conditions

• Cause: Insufficient testing across diverse national payment methods and currency combinations

• Outcome and Loss: System failure during Black Friday resulting in approximately $20 million in losses

🚨 Global Manufacturing | Company B

A global manufacturer dealing with tens of thousands of component combinations had complex business logic:

• Cause: Impossibility of manually verifying price calculations for tens of thousands of component combinations

• Problem: Some products sold below cost after system launch

• Outcome and Loss: Approximately $3 million in losses per quarter

Why Test Automation Is Necessary

The need for test automation should now be clear. Test automation offers these key benefits:

Quality Improvement

• Expanded test coverage by executing a wide range of test cases

• Verification of realistic scenarios using actual business data

• Consistent test quality assurance

Time and Cost Savings

• Dramatically reduced test execution time (up to 50 times faster than UI Replay methods from competitors)

• Reduced personnel costs for repetitive testing

• Enabling testers to focus on creative tasks

Business Risk Reduction

• Decreased system failure risk through increased pre-release defect detection

• Minimized potential for diminished customer experience and reputation damage

• Ensured business continuity

Global Test Automation Adoption Trends

Global companies are already actively adopting test automation, recognizing its benefits. Let's examine regional and industry trends:

Growing Global Test Automation Market

• Global software test automation market projected to reach approximately $50 billion by 2025

• Widespread adoption of test automation tools in North America and Europe (global adoption rate exceeding 70%)

SAP Automation Status and S/4HANA Migration Trends

• Test automation adoption rate in SAP environments remains low at 20-25% Complex ERP environments, integration with various external systems, and other factors make SAP testing automation an ongoing challenge

• However, adoption rates for SAP S/4HANA migration projects reach 30-40% In 2025, 32% of companies implementing or migrating to S/4HANA are utilizing automated testing tools (reaching 38% in North America)

• The relatively higher test automation adoption rate for S/4HANA is due to large-scale system reconstruction, high failure risk, and the 2027 support end deadline

In the global market, test automation has already established itself as an essential quality management method, with adoption rates steadily increasing for large-scale ERP migration projects like SAP S/4HANA. Going forward, SAP testing automation will be a critical element in companies' digital transformation and project success.

Conclusion: Test Automation Is Now Essential

"In today's era of accelerating technological innovation, software quality equals business competitiveness. To ensure system stability and improve quality, test automation is no longer optional—it's essential."

So how can you effectively implement test automation? How should you formulate a test automation strategy? Which areas should you automate first, and which tools should you choose?

In our next article, we'll cover "Effective Test Automation Strategies: How to Start and Scale", introducing test automation implementation methods, area prioritization, and real transaction data-based approaches.

In this age of digital transformation, it's time for testing to evolve alongside development.