Enterprises in Brazil are embedding AI capabilities into SAP environments while pursuing continuous system improvement and regulatory alignment, according to a new research report published today by Information Services Group (ISG), a global AI-centered technology research and advisory firm.

The 2026 ISG Provider Lens SAP Ecosystem report for Brazil finds that many large organizations 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 optimize 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 modernize their use of SAP, they need to coordinate and act on these priorities without disrupting core operations.”

Large enterprises in Brazil are concentrating on stabilizing 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, organizations 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 prioritizing standardization and shorter implementation cycles while adopting automation and SAP Business Technology Platform (BTP) with a clean-core approach.

Brazil’s Tax Reform, beginning implementation this year, is expected to impose prolonged regulatory pressure on organizations 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, well-governed adoption of AI is the main thrust of technology strategy, and extending and optimizing SAP environments goes hand in hand with this effort,” said Alciomara Kukla, lead author of the report. “Service providers are helping them align data, automation and system design for effective SAP environments that deliver business results.”

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.

To learn more, visit: www.isg-one.com

Enterprises in Brazil Advance SAP Optimization Strategies – ISG – May 29, 2026.

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